Wednesday, December 15, 2010
The United States starting this morning Jiangzai "money machine" even greater pressure of RMB appreciation.
<P> Upcoming Fed rate decision announced early this morning to become the focus of attention of various parties, the Federal Reserve is widely expected to be the second "quantitative easing", increase market money supply. .And the United States start "money machine" put dollars in size, is the largest suspense. .</ P> <P> is the quantitative easing policy by the central bank through open market operations to increase the money supply, according to financial experts, this "nothing" to market the actual behavior of a certain size, etc. So money indirectly by printing money .will greatly enhance market liquidity. .Previously, the Fed is widely expected that a quantitative easing by the approximate size of government bonds purchased in 5000 billion U.S. dollars. .</ P> <P> affected, in the U.S. before the release of the final data has been all the way down. .China Foreign Exchange Trade Center from the latest data show that on November 3 the central parity of RMB against the U.S. dollar reported 6.6818, 107 basis points higher than the previous day. .The euro sharply higher against the dollar. .</ P> <P> market analysts generally believe that the Fed increased the amount of money is bound to stimulate the market put the dollar further, but also the appreciation of the RMB exchange rate so that more pressure. .But there are market analysts that the Fed planned quantitative easing measures of the strength of the dollar is always the biggest factor. ."If the data after the announcement, the Fed's money supply and the market size is not expected, the dollar may also see a slight rebound." BOC International analyst Dong Xiang believes that the market has digested some of the quantitative easing ahead of expectations, so .technical rebound may occur, but in the long run, the trend of a lower dollar will not change. .</ P> <P> Dong Xiang said that monetary policy also led to a weaker dollar is not the main reason, "From a fundamental point of view, American power is down and productivity stagnation and high unemployment and other problems inherent in the depreciation of the dollar is .the key. "He believes that the United States simply by adjusting monetary policy, exchange rate and other external pressure on the country means he can not solve the problem. .</ P> <P> United States in this round of quantitative easing is shortly after the stop "printing money" pace? .In this regard, experts are skeptical. ."If the U.S. can not be stabilized if the employment is likely to continue to a third round, fourth round of the quantitative easing." Dong Xiang think. .The Central University of Finance and the China Banking Research Center, Guo Tian Yong, said that America was the second time quantitative easing has started, because the first time not really put the money into the real economy, efficiency is very low. ."If this increase in money supply is still not the real economy can be absorbed, is likely to spread to other countries, particularly as emerging economies such as China, a source of funds into the asset bubble." </ P>.
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