The Weakening Of The US Dollar Has Led The Yuan To Keep Up With The US Dollar.

Last week, dollar The weakening of the euro zone debt crisis and the rising impact of the debt crisis in the euro area have caused a slight concussion in the central parity of the RMB against the US dollar, and on Wednesday trading days, it has created a new high since 2005.

On the five trading day last week, the central parity of RMB against the US dollar announced by the China foreign exchange trading center rose three trading days, two trading days down, and the weekly wave amplitude was 52 basis points. On Monday, the central parity of the RMB against the US dollar edged up 36 basis points to 6.5632 on Friday's 6.5668 basis, and then continued to rise 40 basis points on Tuesday, breaking through the 6.56 pass to 6.5592, and for the fifth consecutive trading day, it hit a new high since 2005. With the euro zone debt crisis regenerating, the euro fell and pushed up the US dollar. On Wednesday and Thursday, the central parity of RMB against the US dollar dropped 33 basis points, to 6.5625. On Friday, it rose 45 basis points again to 6.558 on Friday, once again creating a new high since the reform in 2005.

　　 overseas The US dollar trend is still the main factor leading to the RMB exchange rate in the near future.

At the beginning of last week, interest rate hike was expected. Euro Strong trend, and the dollar weakened. Affected by this effect, the US dollar index continued to weaken, and also pushed up the RMB to us dollar exchange rate intermediate price. On Wednesday, Socrates, the Prime Minister of Portugal, resigned from parliament's latest plan to cut spending. The market worried that Portugal would follow the same path as Greece and Ireland and seek help from the European Union. In addition, an Irish state bank failed to pay bond coupons. It also raised concerns about the banking sector and financing capacity of the second tier countries in the euro zone. The euro slipped from the four month high of the US dollar. Later this week, as the market gradually digested the negative news of the euro area, with the expectation that the euro zone could raise interest rates in April, it was widely believed that the euro was unlikely to enter another downward trend.

On Friday, the central parity of the RMB against the US dollar hit a new high since 2005, and pushed the spot price to further higher to 6.5549. Some traders believe that Chen Deming, Minister of Commerce recently, about the possible trade deficit in China in the first quarter, made the recent market purchase of foreign exchange increase greatly. If the momentum continues, the appreciation or pressure of the renminbi will continue.

Since the people's Bank of China announced the further reform of the RMB exchange rate formation mechanism in June 19, 2010, the RMB has appreciated slightly, the two-way floating characteristics are obvious, and the exchange rate elasticity has been significantly enhanced. In the middle price, the appreciation of RMB has reached 4% since June 19, 2010.

In the forward market, on the evening of 25 nights, the overseas non capital delivery market used to measure the expectation of RMB appreciation in overseas markets was compared with the spot exchange rate of the US dollar against the RMB. It shows that the market thinks that the appreciation of RMB will be in the range of 1% to 2% a year, and that the appreciation expectation is slightly down.

Last week, the central parity of the RMB against the euro showed a slight concussion, and the central parity of the RMB against the sterling exchange rate rose sharply under the weakening of the pound.