|Domestic|
Economic Daily: A Rational View of RMB Exchange Rate Fluctuation
Recently, the RMB has continued to depreciate against the US dollar, and the offshore and onshore RMB exchange rates against the US dollar have successively fallen below multiple barriers. On June 21, the offshore RMB once fell below the 7.2 mark, which is the first time since November last year.
In this context, the Economic Daily published a voice.
The article emphasizes that in the face of RMB exchange rate changes, we should maintain a rational understanding. In the long run, China’s economic growth trend is improving, and the economy basically has strong support for the RMB exchange rate. As far as historical data is concerned, the short-term fluctuation of the RMB exchange rate against the US dollar is normal, which fully shows that China insists that the market plays a decisive role in the formation of the exchange rate, so that the role of exchange rate adjustment macro-economy and balance of payments stabilizer can be better played.
In this process, the so-called gateway data has no practical significance. It is not rational for enterprises and individuals to bet on RMB exchange rate depreciation or appreciation, so it is necessary to firmly establish the concept of exchange rate risk neutrality. Financial institutions should give full play to their professional advantages and provide exchange rate hedging services for various business entities based on the principle of real need and risk neutrality.
Returning to the present, there is no basis and space for RMB exchange rate to depreciate sharply.
|USA|
After voting, UPS in the United States is planning a general strike again!
According to Los Angeles News of the American-Chinese Association, after 340,000 UPS employees voted, a total of ninety-seven percent voted for the strike.
One of the biggest workers’ strikes in American history is brewing.
The union wants to reduce overtime, increase full-time workers, and force all UPS trucks to use air conditioning.
If the contract negotiation fails, the strike authorization may begin on August 1, 2023.
Because the mainstream parcel delivery service providers in the United States are USPS, FedEx, Amazon and UPS. However, the other three companies are not enough to make up for the shortage of capacity caused by the UPS strike.
If the strike happens, it will cause another supply chain interruption in the United States. What may happen is that merchants delay delivery, consumers encounter difficulties in delivering products, and the entire domestic e-commerce market in the United States is in chaos.
|suspended|
The TPC route of the US-West E-Commerce Express Line was suspended.
Recently, China United Shipping (CU Lines) issued an official suspension notice, announcing that it will suspend the TPC route of its American-Spanish e-commerce express line from the 26th week (June 25th) until further notice.
Specifically, the last eastbound voyage of the company’s TPC route from Yantian Port was TPC 2323E, and the departure time (ETD) was June 18, 2023. The last westbound voyage of TPC from Los Angeles Port was TPC2321W, and the departure time (ETD) was June 23, 2023.
In the upsurge of soaring freight rates, China United Shipping opened the TPC route from China to the United States and the West in July 2021. After many upgrades, this route has become a special line specially customized for e-commerce customers in South China.
With the recession of the American-Spanish route, it is time for new players to quit.
Post time: Jul-12-2023
