The Interaction between CHH and CNY
The internationalization of RMB has been a hot topic in the field of international finance recently,and the development of offshore RMB market is the concrete manifestation of the gradual progress of RMB internationalization.By focusing on the interaction between the onshore and offshore RMB price we can understand the pricing mechanism of the offshore market.Based on the latest data and by using two factors VAR model,Granger causality test and impulse response analysis,we find the result which shows that the CNY price has more impact on CNH price at current stage.In a word,the onshore RMB price plays an important role in guiding the offshore RMB price.