Analysis on Foreign Exchange Intervention in the International Financial Market

Abstract

Based on the relations of Exchange Rate to one Nation’s Macroeconomics, the paper concretely analyzed the Path and Model of FX intervention in the International Financial Markets. The author hope the paper will help China to find a way in which the reasonable intervening scheme relative to the exchange rate between RMB and a basket of foreign currencies can be established, thus changing China’s future economic development for the better.