The federal reserve to raise interest rates for the Chinese stock market, the fed once started a massive increases in interest rates, will inevitably lead to global hot money began to return to the United States in the United States, this is China’s capital market, especially the Chinese stock market, will meet a great pressure, may cause is inherently stable performance of the Chinese market is now further appear bad situation,
Even the possibility of a big fall.
1. The interest rate hike of the Federal Reserve will lead to a passive rise in China’s interest rate, which will cause the revaluation of asset prices such as China’s stock market and bonds;
2. Once the Federal Reserve increases interest rates and the currency depreciates, it will lead to capital loss and the contraction of China’s capital liquidity, which will not be conducive to the rise of A-shares;
3. Because the interest rate hike of the Federal Reserve caused the continuous rise of the dollar, with the rise of the dollar, it may continue to promote the continuous depreciation of the RMB.
Currency depreciation will impact China’s asset prices, leading to the A-share market in the weight of stocks, finance, real estate and other sectors fell.
