The Renminbi Will Maintain A Slight Depreciation Trend Towards A Basket Of Currencies.

On the 29 day, after the overnight dollar index broke down, the central parity of the RMB against the US dollar was set at 6.4589 yuan, rising by 0.56% or 365 basis points on a single day, the biggest increase since 2005.

However, on the same day, the trading price of the RMB against the US dollar fluctuated moderately, and the closing price of the onshore RMB against the US dollar fell by 17 basis points.

At the same time, because of the appreciation of the RMB by the major non US currencies such as the euro and yen, the market forecasts that the renminbi will maintain a slight depreciation trend towards a basket of currencies.

Foreign exchange market participants say that the renminbi will appreciate slightly against the US dollar in the next few days, but basically do not have the conditions to go back to the trend of appreciation.

The discrepancy between them will continue to be corrected.

The central parity of the US dollar has been recorded for more than 10 years, mainly owing to the dismal performance of the overnight dollar.

Wind data show that, on the 28 day, the US dollar index fell below the 94 pass, closing at 93.77, or 0.67%, the largest in nearly a month.

Non US currencies rose all the way, such as the euro rose 0.23% against the dollar, the pound rose 0.50%, and the Japanese yen surged 3.01% against the dollar.

Foreign currency people said that the US dollar suffered a lot of "hunting" in a multiple negative way, and underscored the weakness of the US dollar in the short and medium term.

28, the decline of the US dollar in the international market, plus the RMB against the US dollar.

The first rise has made the 29 yuan rise in the central parity of RMB against the US dollar become logical.

On the 29 day, the price of RMB against the US dollar fluctuated much more.

Foreign exchange analysts pointed out that the "expected difference" convergence of monetary policy between developed economies has created a stage weakening pattern of the US dollar, while the Chinese economy has shown a good momentum of stabilization in the recent stage. These two factors are conducive to easing the pressure on the depreciation of the RMB against the US dollar.

But at the same time, China's economic stabilization needs to be observed. The support for exchange rate may be limited, and the pressure of capital outflow has not been completely eliminated.

In addition, although the GDP data in the first quarter increased concerns about the sustainability of the US economic expansion, strong job market and optimistic salary prospects still support the improvement of consumer spending. This will be a powerful factor to support the growth of the US economy, and the US dollar may also be overlooked.

To sum up, in the short and medium term, the exchange rate of RMB against the US dollar shows a range of shocks and the underlying trend of raising the trend of operation is greater, and the fluctuation of the US dollar will still be the main source of RMB exchange rate fluctuations.