Analysts predict stronger currency as Chinese economy picks up steam

China's central bank guided the nation's currency to an all-time high on Wednesday, as dovish comments from the Federal Reserve put downward pressure on the US dollar and eased fears of capital outflow from emerging markets.

The People's Bank of China set the yuan's reference rate at 6.1305 per US dollar, 10 basis points higher than the 6.1315 a day earlier.