The Space For Continued Depreciation Of The Renminbi Will Also Be Limited.

< p > from < a href= "//www.sjfzxm.com/news/index_c.asp" > intermediate price < /a >, the recent weakening of the RMB against the US dollar and the rise of the US dollar index complement each other.

In mid April, with the weather improved, the US economic data released in recent years were mostly stronger, and the US dollar rebounded against most currencies. As of April 21st, the US dollar index gained seven consecutive Yang and returned to the 80 integer pass.

Against this background, the central parity of RMB against the US dollar weakened, hitting a new low of more than 7 months in 6.1610 on 22 April, a cumulative depreciation of 641 basis points or 1% at the end of last year.

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< p > however, because of the reduction in US dollar positions after the US dollar was rising, the US dollar index weakened slightly on the 22 day, which led to a slight rebound in the central parity of RMB on the 23 th.

On the 23 day, the exchange rate of RMB against the US dollar was 6.1599, which rose 11 basis points over 23 days.

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< p > compared with the middle price, the decline of the RMB against the US dollar at a href= "//www.sjfzxm.com/news/index_c.asp" > the exchange rate < /a > is particularly evident.

Following the 22 day's synchronized low price with the central parity, on the 23 day, the spot exchange rate of the yuan against the US dollar rose slightly only at the opening price and followed the central price. After that, it restarted the adjustment and dropped to 16 of the 6.2466 month.

But with the gradual rise in the afternoon, the spot exchange rate eventually closed at 6.2376, down 1 basis points from the previous day's closing price.

At that point, the spot exchange rate hit a new closing low for the year, which has depreciated by 1837 basis points or 3.03% at the end of last year.

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< p > it is worth mentioning that in the recent adjustment process, the deviation of the spot price of the "a href=" //www.sjfzxm.com/news/index_c.asp "> /a > US dollar against the US dollar has widened again, reflecting the slight warming of the renminbi in the short-term market.

Data show that as of 23 days, the deviation between the spot closing price of the RMB against the US dollar and the middle price reached 777 basis points, which was significantly larger than the 441 base points of 8 days.

Some foreign exchange traders said that the recent RMB market derogatory in the spot market was mainly due to the increase in demand for foreign exchange purchase. The signs of central bank intervention were not obvious. It is expected that if there is no central bank intervention, the spot exchange rate is expected to slow down to 6.26.

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< p > at present, the market generally believes that the recent short term warming of the RMB market mainly includes the following reasons: first, the US dollar continues to strengthen slightly, and the US dollar assets attract short-term international capital attraction; second, the first quarter data confirm that China's economic growth is down, or some foreign investors choose to withdraw from Renminbi assets temporarily; third, under the background of economic downturns, the market expects our monetary policy to turn to neutral and loose, and the US Federal Reserve is gradually withdrawing from the QE.

In addition, some market participants say that some of the large state-owned enterprises have expired recently, and their demand for debt repayment has also led to an increase in the purchase of foreign exchange.

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< p > for the future market, some market participants say that short term bearish sentiment is expected to suppress the RMB until the economic bottoming up is confirmed. Therefore, at least until the next round of economic data comes out, the RMB exchange rate will continue to be weak and will not rule out the possibility of a new low.

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