Deep Dive: US Rate Cut Fails, Hot War Looms

• Article
• 2024-08-05
• 19 Comments

Here is the English translation of the provided text: **US Interest Rate Cut: A Pause in the Financial War, or a Call to Arms?

** Recently, the Federal Reserve unexpectedly announced a 50 basis point interest rate cut, a move akin to a boulder thrown into a tranquil lake, causing ripples across the globe.

Some rejoice, believing this to be a sign of America's defeat in the financial game with China, and that the world economy will have a chance to catch its breath; others are apprehensive, fearing that this is the calm before the storm, with the US dollar about to launch a new round of aggressive financial harvesting, and that the real crisis has only just begun.

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Is this interest rate cut a ceasefire in the financial war, or a call to arms?

To answer this question, we must look beyond the surface to the essence, analyzing from a deeper logical perspective and a broader viewpoint.

**I.

US Interest Rate Hikes: A Carefully Orchestrated Global Harvest** Looking back over the past three years, in order to fill the bottomless pit of its own economy, the United States has launched a sustained financial war at the expense of the entire world.

They have used the hegemony of the US dollar to force global capital back into the United States, while suppressing emerging economies in an attempt to profit from them.

The means of this financial war are despicable, and the intentions are sinister, causing outrage.

They have gone to the extent of fabricating data, spreading false information, and instigating geopolitical conflicts, leaving no stone unturned.

According to data from the International Monetary Fund (IMF), in 2022, global capital inflows into the United States reached a record high of 1.3 trillion US dollars, while developing countries face multiple challenges such as capital flight, currency devaluation, and debt crises.

**II.

China's Economy: Forging Ahead Amidst Turbulent Waves** Faced with the US's financial stranglehold, China's economy is like a giant ship sailing on the ocean, weathering the storm.

It is undeniable that the US interest rate hikes have had a certain impact on China's economy, but China has not succumbed; instead, it has actively responded, mitigating risks and demonstrating strong resilience and potential.

On one hand, the Chinese government has decisively implemented a series of policies and measures to stabilize growth, adjust structure, and promote reform, effectively offsetting external shocks.

On the other hand, Chinese enterprises continue to strengthen independent innovation and enhance core competitiveness, seeking breakthroughs in adversity.

**III.

US Interest Rate Cut: A Tactical Retreat or a Desperate Measure?

** Now that the United States has suddenly announced an interest rate cut, does this mean they have given up their ambition to harvest the world?

The answer is obviously no.

1.

The fundamental reason for the rate cut: Structural contradictions in the US economy The US interest rate cut is not out of kindness but out of necessity.

In recent years, structural contradictions in the US economy have become increasingly prominent, with debt levels rising continuously, inflation remaining high, and social contradictions intensifying.

Under these circumstances, continuing to raise interest rates is akin to drinking poison to quench thirst, only accelerating the collapse of the US economy.

2.

The real purpose of the rate cut: Building up strength for the next round of harvesting The rate cut is just a tactical retreat for the United States, and their ultimate goal remains to maintain their hegemonic status.

Through the rate cut, the United States can temporarily alleviate domestic economic pressure while building up strength for the next round of global harvesting.

**IV.

The Looming Shadow of War: The Sword of Damocles Hanging Over the World** What is even more worrying is that in order to divert domestic contradictions and maintain its hegemonic status, the United States is willing to take risks, provoke geopolitical conflicts, and even does not rule out the possibility of initiating a hot war.

1.

Record-high US military spending: According to data from the Stockholm International Peace Research Institute (SIPRI), global military spending reached a new high in 2023, amounting to 2.24 trillion US dollars, with US military spending reaching 877 billion US dollars, accounting for 39% of the global total.

2.

Continuous strengthening of US military deployment: From East Asia to Europe, from the Middle East to Africa, the United States is continuously strengthening its military deployment worldwide, with its ambitions blatantly obvious.

3.

Frequent US involvement in regional conflicts: From the Russia-Ukraine conflict to the Taiwan Strait situation, the United States has played a very disgraceful role, constantly fanning the flames and fueling the fire, fearing that the world is not chaotic enough.

**V. Future Outlook: Opportunities and Challenges Coexist** Faced with a great transformation that has not been seen in a century, the world is in an era full of uncertainty.

Factors such as US interest rate cuts, the risk of hot war, and geopolitical games are intertwined, and will have a profound impact on the global economic and political landscape.

1.

Stay vigilant and prepare in advance: We must be clear that the current international situation is still complex and severe, with challenges and opportunities coexisting.

We must remain highly vigilant, prepare for various risks and challenges, and guard against and defuse major risks.

2.

Insist on development and enhance strength: Development is the key to solving all problems.

We must unswervingly follow the path of peaceful development, adhere to opening up to the outside world, continuously strengthen our own strength, and contribute to maintaining world peace and development.

3.

Strengthen cooperation and overcome difficulties together: Faced with global challenges, no country can isolate itself.

We must strengthen international cooperation, jointly face challenges, and build a community with a shared future for mankind.

The US interest rate cut is not a blessing for the world economy but may be the beginning of a greater crisis.

We must keep a clear mind, recognize the situation, strengthen confidence, respond calmly, and only then can we stand invincible in the face of future challenges.