On December 2, Zhao Qingming, vice president of the China Foreign Exchange Investment Research Institute, said that under the expectation that the Federal Reserve will slow down interest rate hikes, the driving force of the US dollar index has weakened. It can be judged that the strong US dollar has basically come to an end. A high probability point has appeared.
The reporter learned from many sources that people in the industry generally believe that the apex of this cycle of appreciation of the U.S. dollar index has already appeared. However, it is hard to say that the U.S. dollar index has entered a downward cycle under the background that the Fed’s interest rate hike cycle has not yet ended and the U.S. economy still has an advantage over the European economy. The external depreciation pressure on the RMB exchange rate has eased, and the follow-up trend will depend more on the fundamentals of the domestic economy.
