Banks are increasing their allocation to US dollar deposit products in wealth management. Experts say that the risks of Exchange Rate need to be closely followed.

GoldenOctober2024

2024-08-13 22:38:22

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On August 14, Jin10 data reported that as the market’s expectations for a rate cut by the Federal Reserve in September grew, high-yield USD deposits became a popular investment choice. Banks and financial institutions are actively offering USD deposit products with an Annual Percentage Rate (APR) reaching 5%. The scale of these products is rising rapidly. According to data from Puyi Standard, there are currently 1255 products in the market, significantly higher than the beginning of the year, with a total USD deposit allocation exceeding 200 billion RMB. Market participants believe that there is still room for existing USD allocation-related financial products as the Federal Reserve’s rate cut approaches, but there may be Exchange Rate risks that could affect returns as carry trades change direction.

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