The Short-Term Trend Of The RMB Exchange Rate Will Depend On The Willingness Of Regulators.

RMB / US dollar was stable on Wednesday morning, and the middle price continued to maintain stability and guide market expectations.

Offshore CNH is continuing to appreciate, and the difference between the two sides continues to hang upside down.

Traders say customers are still buying foreign currencies, but the panic has eased.

The short-term trend of the RMB exchange rate will depend on the willingness of regulators.

They also pointed out that it is difficult to determine whether the depreciation of the renminbi is in place at present. From the actual demand of the market, it is still the majority of foreign exchange purchase. If there is no large exchange settlement, the renminbi will still depreciate.

As for the trend of offshore market, we need to observe how long the regulators will tighten up their liquidity.

"The expectation of depreciation has always been divided. The government feels that there is no need for the renminbi to depreciate so much. The real reaction of the market is that there are many foreign exchange purchases."

A stock trader said, "the only reference now is that the index of RMB against a basket of currencies may stabilize at around 100."

He also said that the improvement in import and export trade data has not changed the market.

The fundamentals are expected to see "trade data useless" and trade data bad once.

The improvement in import and export data in December may be due to the nominal value adjustment of the RMB against the US dollar. "

Nearly two days after the Spring Festival, the Chinese dollar was hit hard, offshore.

CNH has staged a "V" counter attack market, and liquidity has led to a record high interest rate in offshore short-term lending.

Analysts believe that the central bank's performance and market performance indicate that the Renminbi or stage will stabilize, but more measures are needed to reverse the pressure of capital outflow and depreciation.

In the overseas non deliverable forward foreign exchange (NDF) market, the latest US dollar / RMB variety is up to 6.867 yuan, and the last 6.893 days are on the last day.

Hongkong's offshore RMB against the US dollar is up to 6.574/6.5743 yuan on the spot, and the last trading day is 6.5762 yuan.

The exchange rate of China's foreign exchange trading center today is 11 RMB against the US dollar, and the reference rate is 6.5781.

Since January 4th, the foreign exchange trading centre has published 11 reference prices every day, issuing a reference rate at 10 a.m., 11 p.m., 2 p.m. to 11 p.m. per hour.

The Central Bank of China announced in August 11, 2015 that it would improve the quotations between the RMB and the US dollar in order to enhance its marketization and benchmarking.

From that day, the market maker will refer to the Bank of Japan between the day before the opening of the interbank foreign exchange market.

The closing rate, considering the demand and supply of foreign exchange and changes in the exchange rate of major international currencies, provides an intermediate price quote to China's foreign exchange trading center and devaluation by nearly 2%.

China's largest investment bank, the China Gold macro group, said on Wednesday that the risk of further devaluation of the RMB exchange rate should be lowered under the intervention of the central bank. However, due to the uncertainty of policy, the RMB will still have a rapid depreciation adjustment in the future.

At present, it may be an opportunity to reflect on the role of offshore market.

China's Customs announced on Wednesday that in December, exports in China declined by 1.4% compared with the same period last year, while imports fell by 7.6% year-on-year.

The trade surplus amounted to US $60 billion 93 million in that month.

At 12:01 Beijing time, the renminbi was 6.5783 yuan against the US dollar and 6.5750 yuan on the previous day.

Today, the central parity of RMB against the US dollar is 6.563 yuan, and the middle price of the day is 6.5628 yuan.

The spot turnover of RMB against the US dollar was US $7 billion 96 million, which was $8 billion 186 million for the first half of the day.

The US dollar temporarily stabilized on Wednesday, and investors temporarily stopped the urge to rush to the safe haven currencies such as the Japanese yen and the euro.