The Weakening Of The US Dollar Pushed The Renminbi Up &Nbsp; &Nbsp; The Renminbi Appreciated By About 2% In Three Months.

On the last four trading days in September, the central parity of the RMB against the US dollar rose slightly around the 6.7 level, and on Wednesday re created a new high since 2005. At the spot market closing price, the RMB rose to 1.74% against the US dollar since September, and also the biggest monthly increase since the reform.

The renminbi appreciated by about 2% in three months.

In the past 8 weeks, after a series of new pactions, the past week

On Monday, the central parity of the RMB against the US dollar dropped 101 basis points to 6.7098 over the previous trading day.

On Tuesday, it edged up 47 basis points to 6.7051.

Then it continued to rise 115 basis points on Wednesday, breaking through the 6.7 pass again, reaching 6.6936, once again creating a new high since 2005.

It then dropped 75 basis points to 6.7011 on Thursday.

Since the people's Bank of China announced the further reform of the RMB exchange rate formation mechanism in June 19th, the RMB has appreciated slightly, the two-way floating characteristics are obvious, and the exchange rate elasticity has been significantly enhanced.

Especially since September, the appreciation has increased significantly.

In September, there were 9 in the middle price of the RMB against the US dollar.

Weakening US dollar drives RMB higher

The recent market expectation of further easing monetary policy in the US has pushed the US dollar to weaken continuously.

On Tuesday, the US consumer confidence index released in September was the lowest since February, and the housing price index also fell from last month.

The market is worried that negative data will prompt the Federal Reserve to take control measures such as buying Treasury bonds.

Affected by this, the US dollar index weakened significantly, directly pulling the RMB exchange rate against the US dollar on Wednesday.

The house of representatives of the United States Congress passed the "monetary reform to promote a fair trade act" in September 29th, aiming at the so-called underestimation of local currency.

In response, Yao Jian, spokesman of the Ministry of Commerce, said that countervailing investigations on the basis of exchange rate did not conform to the relevant rules of the WTO.

China has never gained competitive advantage by underestimating the RMB exchange rate.

Unilateral restrictions can not solve the issue of Sino US trade balance. The United States should take positive measures such as lifting restrictions on exports to China, so that more marketable products can be exported to China.

Foreign Ministry spokesman Jiang Yu also said that protectionism under the pretext of RMB exchange rate would only seriously damage Sino US economic and trade relations, and would have a negative impact on the recovery of the two economies and even the world economy.