The Renminbi Reached Its Highest Level Against The Dollar For More Than A Week.

On Monday (September 1st), the renminbi hit the strongest week in the Asian market against the US dollar. The market is optimistic that the Chinese government's measures to deepen the market will attract investment.

　　 Hong Kong and Xie Brokers said that the first comprehensive test of Shanghai and Hong Kong passed last weekend (from August 30th to 31st) is going well, which will support the plan in October. Chinese legislators have adopted a budget law amendment to allow more local governments to issue bonds directly to raise funds for public interest projects.

Data released in the morning show China's August manufacturing industry The slowing pace of activity suggests that China's economy is losing momentum.

The renminbi reached the lowest level in the US dollar against the US dollar during the period, the highest level since August 20th. The RMB exchange rate is now 0.4% higher than the 6.1680 of the central parity price set by the PBOC today. The central parity level set by the central bank today is the lowest since August 6th (meaning the highest value of the US dollar to the central parity of RMB).

"Investors are more optimistic about the Chinese market. In the short term, China's economic growth is facing some downside risks," said Ju Wang, a foreign exchange strategist at HSBC Holdings. However, given that the reform agenda is rather heavy, the market is giving China such uncertain benefits. From short-term to long-term, policy measures should be good.

Shanghai and Hong Kong will start in October. The exchange agreed to allow up to 23 billion 500 million yuan (US $3 billion 800 million) of funds to conduct daily cross-border transactions, further open the mainland stock market, and provide Chinese investors with ways to invest in Hong Kong stocks.