The Impact Of RMB Appreciation On Chinese Stock Market

These years the question of RMB exchange rate has been a hot-point in both domestic and oversea society. The appeal of RMB appreciation has made huge pressure to our country. Although many papers have discussed this question, they mainly study the question on RMB exchange regime to achieve the reform way. I think it will be more straight and realistic to study the reform steps on analyzing the affection to our country under different appreciation degrees. The appreciation of RMB will make complicated affections on both macro and micro economy, which couldn't be counted accurately, so this paper mainly study the affections on stock market under different open degrees of capital item. The main part of this text is formed by five chapters, main view and content are as follows:Chapter 1 explained realistic question of RMB exchange rate .At first the paper reviewed the RMB exchange rate change course and different sound about RMB exchange rate , Secondly reveal the appreciation pressures from both domestic and overseas society, which prove the appreciation of RMB is unavoidable。Chapter 2 analyzed the general theory of domestic currency appreciation how to influence stock market. Through unifies Interest Rate Parity and Golden Model, we established when the money market, the foreign exchange market, the stock market simultaneously achieves balanced, between interest rate, exchange rate and stock price these three kind of price relational model.Chapter 3 mainly introduced the experience and lesson of other national and the local about domestic currency appreciation how to affect the stock market.Chapter 4 we studied the probable affections on our finance that arise from RMB appreciation, in the field of security under different open degree of capital item. Afterwards, we analyzed particularity influence to stock market of our country by RMB appreciation. Chapter 5 we have drawn conclusion: regarding RMB appreciation pressure, we must regard dialectically, not only see RMB appreciation to our country Stock market's beneficial influence, but also see its malpractice.At the conclusion of the thesis, we proposed suggests:First, regarding to be listed, must speed up the industrial structure adjustment, accelerate technology advancement, and finally realize the industrial structure promotion.Second, regarding the government, after capital item Opening completely, must guide investor's confidence, and achieves the anticipated goal with the smallest intervention.