Thursday, September 15, 2016
Global market determined by US Federal Reserve
ANBOUND
As the United States' Federal Reserve has yet to decide on the increase of its interest rate, the international capital market has started to feel numb on this, yet this month the US Fed’s increase of the interest rate is expected to heat-up, and this will dominate the global capital markets again, causing great impact. It should be noted that the capital market’s volatility associated with the current environment of global capital surplus as well. Chinese market need to adapt to this change, especially the increase of the interest rate might give Renminbi some pressures to devalue, which in turn would increase the risk of capital outflows.