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Are RRR cuts and interest rate cuts conducive to RMB appreciation or depreciation? !
If the central bank cuts interest rates, the RMB will depreciate.

The so-called interest rate cut means that banks use interest rate adjustment to change cash flow. When banks cut interest rates, the income of funds deposited in banks will decrease, so cutting interest rates will lead to the outflow of funds from banks, and deposits will become investment or consumption, which will lead to increased liquidity of funds. Generally speaking, cutting interest rates will bring more funds to the stock market, so it will help the stock price rise. Interest rate cuts will promote the expansion and reproduction of corporate loans, encourage consumers to buy bulk commodities with loans, and the economy will gradually heat up.

Currency devaluation (also known as currency devaluation, mbth devaluation) is the symmetry of currency appreciation, which refers to the decline of the value contained in or represented by unit currency, that is, the decline of unit currency price.

The devaluation of the currency has led to an increase in prices in China. However, under certain conditions, currency depreciation can stimulate production, reduce the price of domestic goods abroad, and help expand exports and reduce imports. Therefore, after the Second World War, many countries used it as a means to fight against the economic crisis and stimulate economic development.

The devaluation of the currency has led to an increase in prices in China. However, under certain conditions, currency depreciation can stimulate production, reduce the price of domestic goods abroad, and help expand exports and reduce imports. Therefore, after the Second World War, many countries used it as a means to fight against the economic crisis and stimulate economic development.

Exchange rate instruments are often used to adjust a country's balance of payments imbalance. Governments all hope to use exchange rate instruments to restore unbalanced international payments, especially when a country's international payments are in deficit. It is hoped that through the devaluation of the local currency, on the one hand, the foreign currency prices of domestic export commodities will be reduced, and the price competitiveness of domestic export commodities in the international market will be enhanced, thus promoting exports and increasing exports. On the other hand, the local currency price of foreign imports will increase, and the price competitiveness of foreign imports in the domestic market will decrease. In short, through the downward adjustment of the local currency exchange rate, exports will be expanded and imports will be reduced, so that the trade balance and even the balance of payments deficit will be reduced, balance will be restored, and even a surplus will appear.