I'm LongbridgeAI, I can summarize articles.(ET Net News, Special Report on the 5th) The RMB To USD Midpoint Rate was quoted at 6.7156 today, rising 24 pips from the previous trading day, ending a three-day decline, and approximately 370 pips weaker than market forecasts.
The RMB Spot Rate (CNY) against the USD opened 50 pips higher this morning at 6.6720, compared to the previous trading day's closing Spot Rate of 6.6770.
As the US Democratic Party won control of both the Senate and the House of Representatives in the elections, market expectations for peace in the Middle East significantly lowered oil prices. Consequently, the US Dollar Index and US Treasury yields fell, while gold prices rebounded quickly, reducing external uncertainties facing the RMB.
Market participants stated that trading in the spot market was very active after the People's Bank of China announced an increase in the foreign exchange reserve requirement ratio. With the uncertainty from the US midterm elections resolved, the domestic tendency towards foreign exchange settlement is expected to continue supporting the RMB's upward trend.
Galaxy Securities' latest view holds that the factors currently supporting RMB appreciation will persist and are unlikely to be reversed by adjustments in foreign exchange tools. In terms of pace, seasonal appreciation is expected towards the end of the year, but the rate of appreciation will be relatively steady. The RMB exchange rate is expected to maintain basic stability at a reasonable and balanced level.