Affixation, shift in rhyme, and shift in tone are the general rules of the diminutives in Yue Dialect This paper deploys the concept of ”grammaticalization cycle” to discuss the grammaticalization, distribution, and correlation of diminutives in Yue Dialect. It argues that the development of diminutives in Yue Dialect is explicable through the concept of grammaticalization cycle. The distribution of nil suffix is the most popular one, followed by that of izi suffix and er suffix. Shift in rhyme and shift in tone can be found in Guangzhou and throughout the western part of Guangdong. Among the five prominent locations where the dialect is used, the diminutives found in Xin Yi are the most diverse ones. Historically, the appearance of er suffix was earlier than shift in rhyme and shift in tone. In fact, shift in rhyme and shift in tone were both derived from er suffix. Shift in rhyme usually results in a high pitch-an effect which is biologically-grounded.