The dollar is the basic currency of global foreign exchange and plays a very important role in the international foreign exchange market. After the Second World War, with the establishment of the Bretton Woods system, the position of the US dollar in the international financial market was established. Most of the trade settlement in global trade will use US dollars, which also establishes the position of the United States as the world economic hegemon. However, with the rise of Europe and China, the economic dominance of the US dollar has also been affected, and the US dollar is no longer the only trade settlement currency.
China and the United States formally established diplomatic relations on 1979. At that time, the exchange rate between USD and RMB was 1.55700 USD, which could be converted into 1085 RMB. With the gradual improvement of the international status of the United States, the balance of payments and economic growth rate of the United States gradually widened the gap with China. The exchange rate between 1980 USD and RMB is 1.497 million USD, which can be converted into 1046 RMB. Since 1980, there has been a big gap between RMB and USD. From one dollar to 1.49 yuan, it has been rising continuously. By 1990, the exchange rate between USD and RMB has climbed to USD 47,8327, which can be converted into RMB 3,348.24. With the rapid economic growth in the United States, the balance of payments is getting bigger and bigger. The exchange rate of US dollar against RMB 1994 continued to climb to 8.6 187, which also reached an all-time high. 700 dollars can be exchanged for 6033.09 yuan. With China's reform and opening-up and economic rise, the exchange rate between the US dollar and the RMB began to fall, but from 1996 to 2004, the exchange rate between the US dollar and the RMB remained at around 8.27, and 700 US dollars could be exchanged for 5789 RMB. Since 2005, with the acceleration of China's economic development, the American economy began to slow down, and the economic gap between China and the United States became smaller and smaller. The exchange rate between the US dollar and RMB began to decline obviously, from 8. 19 17 in 2005 to 6.2284 in 20 15.