Global EditionASIA 中文雙語Fran?ais
    Business
    Home / Business / Policies

    Experts sure any moves by US Fed won't affect nation's policy much

    By CHEN JIA | China Daily | Updated: 2021-07-30 06:53
    Share
    Share - WeChat
    The People's Bank of China in Beijing. [Photo/IC]

    Macroeconomic experts in China said on Thursday the US Federal Reserve's latest signal that it may taper $120-billion-a-month purchases of Treasurys and mortgage bonds would not unduly affect the country's current financial condition.

    That is because Chinese monetary authorities will likely continue to accord top priority to economic recovery and price stability in the second half of this year, they said.

    It is unlikely that China's monetary policy, which focuses on preventing economic slowdown and maintaining financial stability, will be influenced by any possible adjustments to US monetary policy, they said.

    On Wednesday, after a two-day meeting of a key Fed committee ended, the US central bank noted the country's economy is reopening at a fast clip, suggesting the twin goals of stable inflation and low unemployment may be attainable in the near future.

    The Federal Open Market Committee, therefore, kept key US policy rates unchanged at near zero on Wednesday and said it will maintain the current level of asset purchases for the time being. It also signaled tapering could be a possibility later this year.

    Fed Chairman Jerome Powell told a news conference online after the meeting that no decision has been made on the timeline of tapering. But Fed officials expect the US economy to continue moving toward the standard of "substantial further progress".

    Powell also said he is concerned the US inflation has increased notably and will likely remain elevated in coming months before moderating. The rapid reopening of the US economy may raise the possibility that inflation could turn out to be higher and more persistent than expected.

    "If we saw signs that the path of inflation or longer-term inflation expectations were moving materially and persistently beyond levels consistent with our goal, we'd be prepared to adjust the stance of policy," he said.

    Any tapering will depend on incoming data, which will be assessed by the FOMC when it meets again on Sept 21-22 and Nov 2-3.

    Spillover effects of any Fed policy change will likely be limited, said Li Chao, chief economist with Zheshang Securities, who once worked with China's central bank, the People's Bank of China. "It is unlikely that any change in Fed stance will influence China's macroeconomic policy in the second half."

    Ming Ming, a senior researcher with Citic Securities, said that besides inflation and the emergence of variants of the novel coronavirus, employment growth could be the third factor that might influence the Fed's decision on tapering.

    Tapering might start at the beginning of next year, and a rate hike may happen by the end of 2022, Ming said.

    He also noted that the Fed has built a buffer mechanism in preparation for the tapering process, referring to two monetary policy measures of standing repurchase agreement facilities-a domestic one for primary dealers and additional banks, and another one for foreign and international monetary authorities.

    On Thursday, the People's Bank of China conducted 30 billion yuan ($4.64 billion) worth of seven-day reverse repos with unchanged interest rate at 2.2 percent. The measure will inject liquidity in the interbank system and ensure the current financial conditions would not tighten.

    Analysts said the PBOC will maintain sufficient market liquidity in the second half while keeping the market interest rates stable around the policy rates.

    Top
    BACK TO THE TOP
    English
    Copyright 1995 - . All rights reserved. The content (including but not limited to text, photo, multimedia information, etc) published in this site belongs to China Daily Information Co (CDIC). Without written authorization from CDIC, such content shall not be republished or used in any form. Note: Browsers with 1024*768 or higher resolution are suggested for this site.
    License for publishing multimedia online 0108263

    Registration Number: 130349
    FOLLOW US
    CLOSE
     
    最新版天堂资源中文网| 久久亚洲AV无码西西人体| 亚洲?v无码国产在丝袜线观看| 特级做A爰片毛片免费看无码 | 18禁免费无码无遮挡不卡网站| 亚洲中文字幕丝袜制服一区| 久久精品无码专区免费| 亚洲AV中文无码字幕色三| 最新中文字幕在线| 欧美乱人伦人妻中文字幕| 手机在线观看?v无码片| 久久国产精品无码一区二区三区| 久久久久亚洲AV无码专区首JN| 欧美日韩中文字幕2020| 中文字幕乱码免费视频| 国产乱妇无码大片在线观看 | 久久久久亚洲av无码专区喷水| 国产成人无码区免费内射一片色欲| 欧美日韩中文字幕久久伊人| 亚洲高清无码综合性爱视频| 国产精品va无码一区二区| 无码国内精品久久人妻| 亚洲AV无码久久精品蜜桃| 18禁超污无遮挡无码免费网站| 日韩欧美成人免费中文字幕| 日韩欧美一区二区不卡中文| 日韩精品中文字幕无码一区| 中文字幕AV中文字无码亚| 久久无码中文字幕东京热| 久久精品人妻中文系列| 最新中文字幕av无码专区| 亚洲欧美精品一中文字幕| 亚洲人成无码久久电影网站| 亚洲AV无码乱码在线观看| 67194成l人在线观看线路无码| 国产成人无码精品久久久免费| 97碰碰碰人妻视频无码| 亚洲AV无码一区二区一二区 | 亚洲日本欧美日韩中文字幕| 久久精品无码av| 中日精品无码一本二本三本|