Fed rate hike in December is expected to be strong spot exchange rate of RMB fell below 6.89- Sohu n-baxia

In December the Fed rate hike expectations strong RMB spot rate fell below 6.89- Sohu news local time on November 17, 2016, in Washington, the Federal Reserve Chairman Yellen delivered a clear signal the Fed will raise interest rates to the market in December at a congressional hearing. Yellen, chairman of China’s Federal Reserve in November 17th, the U.S. Congress hearing, to the market to convey a clear signal to raise interest rates in December. Yellen’s stance in driving the dollar index rose to 101 above the top, but also drag on the central parity of RMB against the U.S. dollar in January 18th for the 11 consecutive trading day devaluation. China Foreign Exchange Trading Center released data show that in November 18th, the central parity of RMB against the U.S. dollar reported 6.8796, compared with the previous trading day devaluation of 104 points. This is the central parity of RMB against the U.S. dollar for eleventh consecutive trading days devaluation, but also this year the RMB devaluation of the middle of the longest time. This year, the central parity of RMB against the U.S. dollar depreciated by 6.08%. The last ten trading days, the central parity of RMB fell by 1.91%. It is worth mentioning that the central parity of RMB against the U.S. dollar 100 basis points or so, has been maintained for a period of 3 days. In addition, in November 17th the official closing price of 16:30 is also the same as the previous day, also closed at 6.8700. In the spot market more reflect market expectations, the RMB against the U.S. dollar opened at 6.8890, compared with the previous day’s closing price fell nearly 6.8700 to 200 basis points, and then fell below the 6.89 mark, the lowest value to 6.8950. Yellen position in the Fed may be driven by the recent interest rate hike, the dollar index rose to 101.16 above the dollar index, offshore RMB fell below the 6.9 mark. U.S. local time on November 17th, Yellen attended the United States Joint Economic Committee hearing, to convey to the market the Fed will raise interest rates in December a clear signal. Yellen said all the signs from the Fed’s November monetary policy meeting since the index showed that U.S. economic growth, inflation and labor market conditions are expected, if the relevant data can continue to meet the target, the Fed is likely to "near" plus interest. Yellen also said that she had no intention to resign, she would have been working to serve until January 2018. The Fed’s next FOMC time is December 13th to 14, Yellen in the above statement, the market generally believes that the possibility of the Fed rate hike in December more than 90%, from the last Fed rate hike just a year. Shenwan Hong in a research report that, taking into account the December Fed rate hike probability, China will face greater downward pressure on the currency.相关的主题文章: