The Fed cut interest rates by 25 basis points on schedule, and the offshore RMB exchange rate rose to 7.04

category:Finance
 The Fed cut interest rates by 25 basis points on schedule, and the offshore RMB exchange rate rose to 7.04


On October 31, the offshore RMB exchange rate against the U.S. dollar rose to 7.04, the highest at 7.0385.

Although it continues to cut interest rates by 25 basis points, the Feds position in this statement is hawkish. The statement removed the wording that the Fed will take appropriate action to maintain economic expansion. In a subsequent press conference, Federal Reserve Chairman Powell said that in view of the recent interest rate cut by the Federal Reserve, interest rates are at a loose level and no interest rate increase is currently considered. Jiang Chao, chief economist of Haitong Securities, believes that the overseas central bank has been easing this year, and the Federal Reserve has cut interest rates three times in a row this year. In the future, the probability of the U.S. economic slowdown is still high, and the trend of the U.S. dollar is mainly volatile. Chinas current main measures are to reduce standards and reform LPR to reduce costs, instead of flooding. In addition, recent Sino-U.S. trade negotiations have made some progress. Therefore, the RMB exchange rate is expected to stabilize in the short term. Source: surging news editor: Wang Xiaowu NF

Jiang Chao, chief economist of Haitong Securities, believes that the overseas central bank has been easing this year, and the Federal Reserve has cut interest rates three times in a row this year. In the future, the probability of the U.S. economic slowdown is still high, and the trend of the U.S. dollar is mainly volatile. Chinas current main measures are to reduce standards and reform LPR to reduce costs, instead of flooding. In addition, recent Sino-U.S. trade negotiations have made some progress. Therefore, the RMB exchange rate is expected to stabilize in the short term.