First of all, the exchange rate difference between the US dollar and the RMB is influenced by the monetary policies of the two countries. The US Federal Reserve System and the People's Bank of China are responsible for the monetary policies of the US dollar and RMB respectively. The two central banks will consider different factors when formulating monetary policies, such as inflation expectations, economic growth and employment status. Therefore, when the monetary policies of the two countries are different, the exchange rate difference between the US dollar and the RMB will appear.
2. Secondly, the exchange rate difference between USD and RMB is also affected by market supply and demand and investment demand. When investors' demand for dollars increases, the dollar will appreciate and the RMB will depreciate; On the contrary, when investors' demand for RMB increases, the RMB will appreciate and the dollar will depreciate. Therefore, the supply and demand situation in the foreign exchange market will also lead to the exchange rate difference between the US dollar and the RMB.