The Impact Of Exchange Rate Changes On The Stock Price Of Listed Banks

Since the reform and opening up, China’s market economy further development, financial system reform and gradually deepening, as we all know, the financial industry in China’s national economic development process is playing a more and more important role. Modern banking industry, the role of the development of the national economy has become increasingly prominent, and has become a pillar industry of the entire financial market and even the development of the national economy. As an important development characteristic of listed banks, stock is the direct embodiment of the development level of the banking industry, and the changes of the stock price can reflect the bank’s capital supply and demand situation and the development level of the bank. With the continuous deepening of the reform of the foreign exchange system, the change of the foreign exchange rate affects the business performance of the commercial banks, thus leading to the change of the stock price of the listed banks. So in this case, it is very important to study the change of the RMB exchange rate on China’s listed banks stock price effect. Especially under the situation of the current China’s continued appreciation of the renminbi and the influence after China’s accession to the SDR plan, stock market fluctuation, monetary business of commercial banks has attracted more and more foreign exchange, so under such research RMB exchange rate changes on China’s listed shares in the bank specific changes influence, will cause investors and commercial banks improve exchange rate the importance of the stock market risk, so as to enhance their awareness of risk prevention, safeguard the interests of investors and promote the development of commercial banks. The article using the method of literature study and field survey research methods, on basis of the woman of the fluctuations of exchange rate affect stock prices, even if a full exposition, and in domestic and foreign scholars, analyzes the exchange rate fluctuations in theory on the impact on the stock price transmission mechanism, on the fluctuation of RMB exchange rate how to influence our country commercial bank’s stock price has carried on the empirical analysis, and draws a conclusion that the related and specific conclusions are as follows.First, on the basis of theory, the exchange rate affect the stock price is mainly through international capital, corporate performance, international trade, interest rates, and the psychological expectation of investors of multiple channels stock price. Second, from the long-term exchange rate changes trend analysis, relatively stable cointegration relationship exists between the listed banks and the exchange rate, from the short term, exchange rate changes is price changes in the impact of Commercial Bank of Granger causality. To analyze from a long-term perspective, the appreciation of the renminbi will lead to stock price rise. But the rising trend and fluctuation of the interval between different banks have certain differences. Third, the fluctuation of exchange rate has a certain effect on the stock price of China’s listed banks impact. Through empirical study, statistical analysis, it is found that the exchange rate on the stock price of the commercial banks have a rich merchant, the long-term equilibrium situation with the current commercial bank is not in conformity with the. It also explains the monetary policy of our country for the influence of commercial banks.The on the basis of the above research proposed our country to improve the relevant policy recommendations, can further promote the construction of the foreign exchange market, improve the RMB exchange rate formation mechanism, and increase the management of RMB exchange rate mechanism. The government also needs to establish the forecasting index and risk early warning mechanism, fully expected RMB exchange rate rise, and intervention. The Chinese government also need a reasonable guide the psychological expectations of investors. To cultivate rational investment of investors in our country to cultivate a correct concept of investment. In addition, investors should establish the correct investment philosophy, to guard against exchange rate changes brought about by the risk of commercial bank shares, for the production and the consequences of their risk to have a correct understanding. From the commercial bank itself should be to further develop risk prevention mechanism, actively respond to the impact of exchange rate changes will bring to the commercial bank shares, to guard against the risk of exchange rate, firmly establish the modern bank risk management awareness.