First, the balance of payments is basically balanced, and foreign exchange reserves are rising steadily. In the first half of the year, China's current account surplus was $76.5 billion, accounting for 1.2% of the gross domestic product (GDP), which remained in a reasonable and balanced range.

Second, the flexibility of RMB exchange rate has increased, and it has performed steadily among the major currencies in the world. Since the beginning of this year, the RMB exchange rate has risen and fallen, showing a two-way fluctuation trend and maintaining high flexibility. The implied volatility of domestic option market 1 year is 5.0% on average, and the fluctuation range between the highest price and the lowest price is 7.5%, which is in a reasonable and moderate range. In the first three quarters, the spot exchange rate (CNY) of RMB against the US dollar rose slightly by 2.3%.

Third, market behavior is more rational and market expectations remain stable. From the perspective of foreign exchange settlement and sale transactions, since the beginning of this year, market participants have maintained the trading mode of "buying foreign exchange on rallies and buying foreign exchange on dips", which shows that market participants are more rational and their awareness of controlling exchange rate risks is increasing. Judging from the foreign exchange market forwards, options and other related indicators, the exchange rate expectation is basically stable, and there is no consistent unilateral exchange rate expectation.

Fourth, cross-border two-way investment is still active, and cross-border capital flows are stable and orderly. On the one hand, foreign investors have maintained a high enthusiasm for domestic investment. According to the statistics of the Ministry of Commerce, the foreign direct investment of China's non-financial enterprises in the first three quarters was103.3 billion US dollars, up by 2.5% year-on-year; Statistics from the foreign exchange bureau show that.