Exchange rate, exchange rate risk aversion and exchange rate trend of major currencies.　
¡ª¡ªCao Honggang, from The People's Bank of China

Cao firstly gave brief introduction of exchange rate, which covers bilateral & effective, nominal & real exchange rate. To analyze exchange rate, Cao said, we could consider several aspects, including economic fundamentals, international balance of payments and asset flows, interest rate and asset price, exchange rate system and its interference and market expectations. He also introduce some ways and tools to avoid exchange rate risks. Then Cao introduced recent exchange rate trends of major currencies, and at last, share some views about CNY exchange rate outlook.