On May 28, the School of Economics and Management, Tsinghua University (Tsinghua SEM) hosted a lecture by Hélène Rey, Lord Bagri professor of economics at London Business School (LBS). As the distinguished speaker for the latest Chen Daisun Memorial Lecture in Economics, Rey delivered a lecture titled "Global Financial Cycles and International Finance Networks." Bai Chong-En, dean of Tsinghua SEM and a distinguished professor of arts, humanities and social sciences of Tsinghua University, chaired the event. Liu Qing, associate professor of economics; Luo Wenlan, associate professor of economics; and Wang Tianyu, associate professor of finance, were present.

Hélène Rey delivers a keynote speech.

Building on her influential theory of the "global financial cycle," Rey offered a systematic analysis of the U.S. dollar's central role in international financial markets, the network-based explanation of exchange rate movements, and the global transmission of U.S. macroeconomic news through equity and currency markets. In presenting her latest research, Rey introduced an empirical decomposition model of exchange rate fluctuations, which demonstrates strong theoretical coherence and predictive power. She emphasized that changes in U.S. investors' foreign equity holdings are a key mechanism driving home currency exchange rate movements - particularly noting that during periods characterized by shifts in global risk appetite, the U.S. dollar tends to show a consistent depreciation trend.

A group photo of the lecture

The lecture was attended by over 100 faculty members and students from Tsinghua University, Peking University, Capital University of Economics and Business, Renmin University of China, and other institutions. In the Q&A session afterward, faculty and students engaged in in-depth discussions with Rey on topics such as global capital flows and the autonomy of exchange rate policies. The event demonstrated Tsinghua SEM's openness and global perspective in advancing frontier research in economics.

The event was jointly organized by Tsinghua SEM, the Institute for Global Development at Tsinghua University, and the Tsinghua–CUHK Joint Research Center for Chinese Economy.

About the Chen Daisun Memorial Lecture in Economics

To commemorate the centennial anniversary of Tsinghua University and the 85th anniversary of the founding of its Department of Economics - the predecessor of Tsinghua SEM - the school launched the Chen Daisun Memorial Lecture in Economics in April 2011. Named after Chen Daisun, a Tsinghua professor who served for many years as chair of the Department of Economics, this lecture series represents the highest-level academic event hosted by the school for its faculty and students. Previous distinguished speakers included Myron Scholes, 1997 Nobel laureate in economics and Frank E. Buck professor of finance, emeritus, at Stanford Graduate School of Business; Eric Maskin, 2007 Nobel laureate in economics and professor at Harvard University; and Robert C. Merton, 1997 Nobel laureate in economics and professor at the Massachusetts Institute of Technology.

Source: Student Affairs Office

Editor: Ren Zhongxi