[Bank of China Research Institute: Internal and external factors jointly promoted the appreciation of the RMB exchange rate in the third quarter] According to Jinshi Data on October 5, the spot exchange rate of the RMB against the US dollar rose by a cumulative 2,503 basis points in the third quarter of this year, an increase of more than 3.44%. The central parity rate of RMB against the U.S. dollar has been raised by a cumulative 1,194 basis points, an increase of more than 1.67%. The Bank of China Research Institute analyzed in its latest China Economic and Financial Outlook report that from the perspective of external factors, the Federal Reserve started an easing cycle with an interest rate cut of 50 basis points, and the U.S. dollar index fell significantly, from 106 at the end of June to around 100. The inverted interest rate gap between China and the United States continues to narrow, and the motivation for short-term capital to stay in the U.S. market continues to weaken. The sentiment of international capital seeking safe-haven assets has accelerated, and cross-border funds have continued to flow in. From the perspective of internal factors, domestic favorable policies have been continuously introduced recently, and economic fundamentals have performed well, which has formed an important supporting role in the stability of the RMB exchange rate. (Reprinted from: Jinshi Data)