Against The Input Type Of Inflation &Nbsp; The Appreciation Of The Renminbi Or A Grasp Of The Hand

According to the latest data from China foreign exchange trading center, the central parity of RMB against the US dollar was 6.5156 in April 22nd, and the new record was revised for third consecutive trading days.

Insiders say that this is mainly because the depreciation of the US dollar is too fast. In fact, the real effective exchange rate index of the RMB declined in March compared with February.

At present, the rapid appreciation of the RMB against the US dollar has great positive significance. Global commodities are mostly denominated in US dollars, and appreciation is conducive to easing.

Recently, the appreciation of RMB against the US dollar has accelerated significantly.

As of April 22nd,

Macroeconomic analysts of Minsheng securities told our correspondent that this was not surprising, because the depreciation of the US dollar was too fast and the euro area's inflationary pressure was high. In April, the interest rate hike was raised. The market did not rule out raising interest rates again, but the US could not see any reason for raising interest rates. In this case, the US dollar continued to fall.

It is worth noting that although the dollar exchange rate broke through multiple barriers, analysts said that the real effective exchange rate index of the RMB declined in March compared with February, and the real appreciation rate of RMB was very limited.

In the whole year, the appreciation of RMB is strong, and the annual appreciation is expected to be around 8%.

In the face of persistent high CPI, the exchange rate has been included in the regulation of inflation control by regulators.

Recently, Hu Xiaolian, deputy governor of the central bank, pointed out that we should continue to improve the RMB exchange rate formation mechanism in accordance with the principles of initiative, controllability and gradualism.

According to the analysis of personages in the industry, under the multiple background of the excessive opening of the open market operation, the high rate of reserve requirement and the insufficient motivation to continuously raise interest rates in the short term, one of the options is relatively small in exchange rate instruments or monetary policy instruments.

China's Academy of Social Sciences recently released the 2011 "economic Blue Book spring number" concluded that in 2011, China's inflation pressure is likely to continue to grow. If no effective measures are taken to curb inflation, CPI will probably exceed 4% of the target year.

Yao Jian, spokesman of the Ministry of Commerce, said that the growth rate of imports, especially the growth of resource goods, was relatively fast, which pushed up the prices of imported goods, resulting in a small deficit in the first quarter.

This is especially manifested by the import deficit and imported inflation.

Moreover, in view of the current scale of China's industry, the import of resource goods may still take considerable time.

According to industry experts, imported inflation will replace the inflation of non international trade goods, such as rent, labor, short distance pportation of fresh food, and so on, which will become the key to the evolution of inflation.

In this regard, the appreciation of the renminbi is a direct and effective hedge measure.

In particular, the price rise of products outside the country, China's monetary and fiscal policy is more difficult to exert effective influence. At this time, only to accelerate the appreciation, to a certain extent, inhibit the price of products.

In addition, the appreciation of the renminbi can reduce the pressure on the central bank to acquire foreign exchange reserves, reduce the influence of foreign exchange on the basic currency, ease the excess liquidity, and finally achieve the purpose of restraining the price rise.