The trend of Renminbi's exchange rate is especially eye-catching in the face of global currency’s competitive depreciation. As ANBOUND research team puts it, the appreciation of the US dollar and the depreciation of other currencies of non-US dollar, have put Renminbi in a dilemma. Under this market situation, Renminbi, whether following the US dollar to appreciate or not, will face pressure. In order to relieve Renminbi from this dilemma, the exchange rate formation mechanism needs to be reformed, practically designing a mechanism of "pegging Renminbi to a basket of currencies" at a middle price of RMB exchange rate. Any change on exchange rate mechanism will result in an immediate and systematic impact, therefore requiring comprehensive and prudent considerations.