As investors sought out overseas bonds, they all ran away from the Taiwan market, and the NT $ exchange rate continued to weaken, becoming the worst Asian currency in this quarter.
According to Bloomberg News on Wednesday (August 9), the exchange rate of the New Taiwan dollar against the US dollar has depreciated more than 2%since June 30, which is the Asian currency with the largest decline in the region; 10 years in Taiwan; 10 years in Taiwan; 10 years in Taiwan; 10 years in Taiwan for 10 years;The rate of return on Treasury bonds was 1.18%, compared with the discount rate of US Treasury bonds in the same period to the largest level since 2006.
As of 2 pm on Thursday, $ 1 can be against NT $ 31.75.
Reports pointed out that Taiwanese investors have shifted to exchanges listed funds (ETFs), and overseas investors' selling desk stocks are the reasons for the continued weakening of NT $.
According to the data compiled by Bloomberg, in order to pursue higher returns, investors have invested nearly $ 16 billion (about $ 21.5 billion) to ETF since November last year, whichIn the heavy downward pressure, after ETF's management company received the NT $ from customers, they had to sell these NT $ to buy foreign bonds such as US Treasury bonds.
Lin Qichao, chief economist of Cathay Pacific Bank, analyzed that the weakening of the New Taiwan dollar is related to foreign outflows, and the increase in the increase in the ETF of the life insurance industry has also exacerbated the pressure of depreciation.
The Central Bank of Taiwan revealed that Taiwan recorded about $ 70 billion in foreign outflows in July, which was higher than normal.In addition, foreign investors also sold more than $ 4.8 billion in stocks this quarter, making Taiwan the most unpopular stock market in Asia.
In addition, Taiwan ’s exports have been weak in recent months, which has also caused the rebound of NT $ New Taiwan dollars.According to official data from Taiwan, the total exports in Taiwan in July decreased by 10.4%year -on -year, which was the 11th consecutive month.
Tommy Wu, a senior Chinese economist at the German commercial bank, said that in the case of high US dollar interest rates, exporters may not be willing to export export income to other foreign currencies.
Lin Qichao believes that import inflation has slowed down and the export performance is not good. In addition, Taiwan is still on the list of exchange rate manipulation of the US Department of Finance. The central bank of Taiwan is unlikely to intervene to prevent further depreciation of the NT $.
He predicts that the NTS dollar may be degraded to the 32 yuan level this year against the US dollar.
