Guosen Securities: The Fed's rate cut can alleviate the external constraints on China's monetary policy.

Guosen Securities research report states that the impact of the US Federal Reserve's interest rate cuts on China's macroeconomic level may mainly manifest in the following two aspects: 1. Monetary policy space: The interest rate cuts by the Federal Reserve can alleviate external constraints on China's monetary policy, providing more operational space for the central bank to use monetary policies such as lowering the deposit reserve ratio and interest rates to better play the countercyclical adjustment function of monetary policy. 2. Exchange rate and import-export trade: The interest rate cuts by the Federal Reserve typically lead to a weakening of the US dollar, and the Renminbi is expected to appreciate relative to the US dollar, increasing the purchasing power of the Renminbi and benefiting China's import trade. In terms of exports, although the relative purchasing power of the US dollar may decrease with the weakening of the US dollar, the interest rate cuts by the Federal Reserve may stimulate US economic growth, thereby increasing US demand for Chinese goods.