I’ve finished translating Jin10’s October 15 item, and first confirmed one thing: there are no prices or asset-specific levels in the text. Pan Gongsheng attended the G20 Finance Ministers and Central Bank Governors Meeting, describing escalating geopolitical conflicts as the greatest uncertainty facing the global economy. Two risks followed: sharp volatility in some countries’ government bond markets, and valuation corrections in AI-related assets. He directly linked both to financial vulnerabilities.
I wouldn’t interpret “imbalances” as meaning that exchange rates are set to move in one direction. His point was that we should look beyond current accounts and also consider capital flows; global imbalances cannot be corrected through exchange-rate adjustments, and there is no simple linear relationship between exchange rates and current accounts. For someone like me, who looks at market structure and volume, this provides context on risk appetite and cross-border capital flows—not numbers to use for drawing key levels.
One more thing not to misread: promoting the modernization of financial regulation does not mean loosening regulation, nor should it undermine the stability of the financial system or its ability to withstand risks.
#宏观 #风险偏好
I wouldn’t interpret “imbalances” as meaning that exchange rates are set to move in one direction. His point was that we should look beyond current accounts and also consider capital flows; global imbalances cannot be corrected through exchange-rate adjustments, and there is no simple linear relationship between exchange rates and current accounts. For someone like me, who looks at market structure and volume, this provides context on risk appetite and cross-border capital flows—not numbers to use for drawing key levels.
One more thing not to misread: promoting the modernization of financial regulation does not mean loosening regulation, nor should it undermine the stability of the financial system or its ability to withstand risks.
#宏观 #风险偏好