As we all know, since the outbreak of the "Black Swan" incident, the United States has released 24 trillion yuan of water for 50 consecutive weeks. Its purpose is to cope with the depression caused by the epidemic and stimulate the recovery of the market economy, but its consequence is the acceleration of inflation in the United States and even the world. This time, China bought corn from the United States, which, to some extent, carried the "pot" for the United States. At the same time, the dollar began to depreciate and the RMB began to appreciate, breaking through the 6.4 mark and rising to the position of 6.3758.
What is inflation? In fact, a country's currency is printed in large quantities, which leads to the currency circulating in the market faster than the wealth created by society, and the currency is not so valuable. For every country in the world, inflation is an unavoidable "problem", because with the national stimulus to the market and the influence of various monetary quantitative easing policies, the price level and labor costs will naturally rise gradually.
With the appreciation of RMB, many people in China cheered that our money was valuable. Some people even joked that the exchange rate of RMB against the US dollar should be 1: 1, and China will directly surpass the United States and become the largest GDP country in the world. RMB appreciation and depreciation have their own advantages and disadvantages for China people.
The appreciation of RMB will increase China's purchasing power, and the same RMB can buy more raw materials. But this will damage the profits of the export industry, especially the export manufacturers of small and medium-sized enterprises, and will also hit the employment problem.
The depreciation of RMB is good for exports and bad for imports. In this regard, Liu Guoqiang, deputy governor of the central bank, said last week that China's foreign exchange market is in an independent and balanced state, and the RMB exchange rate is determined by the market. It is expected that the exchange rate will remain stable.
Despite the central bank's statement, the actual action is not to speed up the tightening of the currency, but to suppress commodities by administrative means some time ago. To put it bluntly, I'd rather let the RMB appreciate than tighten the currency immediately. There is a profound meaning behind this.
The dollar is the common currency. As the United States continues to print money for its own benefit, injecting a lot of dollars into the market, leading to global inflation, the United States is also using this method to harvest wealth around the world. Countries such as Brazil and Lebanon are the best examples. So far, the central parity of Lebanon's exchange rate has reached 1 500,000 pairs1,and the currency has depreciated by more than 90%.
At the same time, prices have soared by 70%, and the national food supply is in short supply. It is estimated that 40% of the shops will close this year. The unemployment rate has also risen sharply and will exceed 35%. The per capita annual income dropped from $8,000 in 20 18 to $2,500 in 2020. It is reported that Lebanon's economy has shrunk by 20%, and the country is undoubtedly on the verge of collapse.
It is in the context of global inflation that China sent a signal of refusing to harvest, and chose to export inflation instead of bearing the burden for other countries. It is reported that China Bank withdrew about 260 billion yuan at the beginning of the year, which shows China's determination to return to normal monetary policy.
In the past, in order to make a profit, China desperately exported steel products at low prices and earned US dollars. Now, through resource integration, we begin to earn dollars by raising foreign prices. Why is China so confident to do it?
At present, China is the only country in the world that has fully resumed its work and production. China's manufacturing industry is unmatched by other countries. The United States used to have Southeast Asian countries such as Vietnam and India to rely on, but now the situation is different. This means that more and more domestic products have staged a staged "invincible hand in the world".
In addition, China's countermeasures are still in the new energy industry. Recently, China established the battery manganese supply industry alliance, which is a key technical component, just like the engine of gasoline vehicles, to achieve the purpose of curbing electric vehicles in other countries in the world.
The steady appreciation of the renminbi is being rejected. It can be said that the White House met an opponent with equal strength and gnawing hard bones. No longer a lion who used to only know how to sleep.
Of course, the relevant departments should try their best to avoid the negative impact of the economy. For small and medium-sized enterprises in the industry, we can refer to the cooperation between large Japanese companies and small and medium-sized enterprises to get through this special stage. Sun Guofeng, director of the Monetary Policy Department of the Bank of China, said earlier that in 20021year, it is necessary to keep the money supply in line with the social and economic growth rate, keep the interest rate at a normal level, and properly handle the relationship between economic construction and risk prevention.
For ordinary people, in the face of increasing global inflation and RMB appreciation, we should pay attention to protecting and making good use of our money bags, such as investing in gold, jewelry, stocks, bonds, etc., which can not only preserve the value, but also enjoy the direct benefits of RMB appreciation. What do you think of RMB appreciation? What do you think are the advantages and disadvantages?