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The US dollar continues to depreciate and can no longer bear it! Has China won the financial war? The answer is out

2024-08-16

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The US interest rate remains high at 5.25%.But the US dollar depreciated to 103Far lower than the previous 114.At the same time, the RMB against the US dollar hasIt fell by only 0.8%Completely ignored the pressure of high US dollar interest rates.

If we look at more numbersaccording toThis will make it easier to determine who will win and who will lose in the financial war.

Under the pressure of Black MondayThe U.S. stock market is far from recovering.andThe starting point of this financial turmoil was the Japanese stock market.SuddenFall

butfromsourceComeexplainUSAfinancemarketofTurbulence is closely related to the stability of U.S. Treasury bonds. U.S. Treasury bonds are backed by the economic influence and military strength of the United States. In short, the volatility of the United States is essentially a reflection of the decline of the U.S. dollar.

The dollar's growth over the past few decades has benefited from two things: America's military strength and economic cooperation with China.

However, this model requires the United States to abide by two rules: ensuring the circulation of the Chinese and US markets, and controlling the amount of money printed.

But the United States has not followed these two rules. The trade war launched by Trump after he took office has weakened Sino-US trade ties and restricted the channels for the circulation of US dollars through China.

In addition, after the 2008 financial crisis,andnewcrownepidemicbackThe United States printed a large amount of money, which led to inflation and ultimately triggered today's crisis.