Wang Qing, chief macro analyst at Orient Securities: The Renminbi is likely to continue its stable and slightly strong trend during the significant fluctuation of the US dollar index.

Wang Qing, Chief Macro Analyst at Dongfang Jincheng, believes that due to the possibility of the US-Iran negotiations restarting soon, the overnight decline in the US dollar index has strengthened the upward momentum of major non-US currencies, including the Renminbi. Wang Qing pointed out that overall, during the recent outbreak of geopolitical risks in the Middle East, global foreign exchange market volatility has been significant, and the Renminbi has remained stable and relatively strong. In the context of a flat US dollar index so far this year, the Renminbi has appreciated by 2.2% against the US dollar, and the CFETS Renminbi exchange rate index, which represents the overall exchange rate level, has also increased to near a one-year high. This is supported by the controllable impact of the Middle East situation on the Chinese economy, stable external trade environment, sustained growth in exports, and improving domestic consumption and investment growth at the beginning of the year. Wang Qing stated that although the current situation in the Middle East is showing signs of cooling down, there may still be variables in the future, as it will continue to be the main factor affecting the US dollar trend, keeping the global foreign exchange market in a high volatility state. However, considering that China's external trade environment is expected to stabilize in the near future, overall exports will maintain rapid growth, and policies to stimulate domestic demand will also be further implemented and effective, the Renminbi is likely to continue its stable and relatively strong trend amid significant fluctuations in the US dollar index in the future.