Abstract: Small country currencies are being phased out rapidly,capital is seeking outlets,and beyond gold and the US dollar,the large A-shares market is still highly anticipated.

Body: The bull market in gold is driven by a new major currency war,with international gold prices soaring!

On Friday's close,COMEX (New York Mercantile Exchange) gold futures rose by 2.16%,reporting a new historical high of $2546.2 per ounce.

The highest price touched during the session was $2548.30 per ounce,setting a new historical high.

The market attributes the surge in gold to the Federal Reserve's interest rate cut cycle in September and concerns over the spread of the Russia-Ukraine conflict.

However,from my perspective,I would say that the above factors are just the spark; the long-term favorable for gold's bull market is the global currency integration.

This means that the currency is entering a faster elimination cycle,which can also be understood as a new currency war.

According to incomplete statistics,there are a total of 224 countries and regions in the world,including 193 countries and 31 regions.

There are more than 170 currencies in circulation worldwide.

Among them,there are 49 currencies issued in Asia,31 in Europe,44 in Africa,22 in North America,13 in South America,and 11 in Oceania.

In addition to these currencies,there have been thousands of currencies that have existed globally from ancient times to the present.

And for thousands of years,gold has always been the hardest currency.

All countries recognize gold,and what is even more magical is that before the world was fully interconnected,gold has always been the strongest currency.

Gold can almost influence all currencies.

Compared with gold,the circulation cost of other currencies depends on the economic support.

If the economy is not good,the currency devalues,and the more it devalues,the higher the cost.

The cost of gold is more just inconvenient to carry.

As economic globalization deepens,the unification of currencies is also continuously advancing.

This is a natural process.

It is also a competitive process.

The natural process is because the world needs to simplify the number of currencies,and the competitive process is because everyone wants to obtain the strongest currency issuance rights and pricing rights.

Behind this,economic strength is needed to support it,so the conflict comes.

Everyone wants to be in the most comfortable position.

On July 17,2024,a global first!

Argentina stops issuing currency!

In an era when all countries are crazily over-issuing legal tender,Argentina's action will tell the people of the world that the era of over-issuing currency can be ended.

Argentina's Minister of the Economy Caputo recently announced,"The Argentine government will stop issuing currency,and the total amount of currency in Argentina in the future will either remain unchanged or decrease due to the purchase of foreign exchange."

Argentine President Dr.Mile believes that inflation is a theft action,and printing money to develop the economy is the biggest joke in economics.

He has a famous saying,if printing money can reduce poverty,then printing academic qualifications can reduce illiteracy.

Argentina's economic total volume ranks 26th in the world.

Argentina is not a small country,it can be said to be an upper-middle-class economy.

If Argentina can't hold on,then the economies behind Argentina,the currencies of those countries and regions will only be accelerated to be eliminated.

And these collapsed small currency countries,they either buy gold or use the US dollar,euro,RMB,and other major country currencies.

The reason is also very simple,to prioritize value preservation,and it's better to appreciate.

The US dollar is supported by a strong economy,and it appreciates with interest rate hikes,attracting global capital to flow into the United States.

Now that the US dollar is going to lower interest rates,then capital will choose other outlets.

But if there is no benefit,it may also choose to stay still.

However,due to the acceleration of global currency integration,that is,the acceleration of the currency war,small currency countries can only desperately exchange gold or US dollars,or invest in US bonds to deal with the collapse of their own currencies.

This is the main reason for the rapid outbreak of US bonds.

Because the disappearance of small country currencies is also the process and embodiment of the US dollar's dominance over them.

The more small country currencies disappear,the stronger the US dollar,unless the United States collapses,but this is very difficult.

Because even if the United States declines a little bit,the world is panicked.

Therefore,the bull market in gold is driven like this.

If the United States is unreliable,then it can only be laid out in gold,such as the United States' enemy countries do this.

Don't use the US dollar,desperately use gold or other currencies that can preserve value and appreciate.

Our country is the world's second-largest economy,and the future is the largest economy.

Now promoting reconciliation with the Middle East and Arab countries,and reconciliation with the Muslim world.

If these two major economic circles can be peaceful,it will bring huge new economic growth space to our country.

This is a big chess game,and the United States also plays like this.

However,the United States prefers to open the way with shells,because it is easier for them.

The United States is rich in resources,oil,coal,and lithium mines are almost the first in the world.

Even if it is not the first,it can be the first by fighting.

For example,Bolivia,which has the richest lithium,is next to the United States,what dare you do?

So the United States does not need to develop other countries' economies to expand the territory of the US dollar.

It doesn't need it at all,and it's even a waste of their time.

But our country can't,the population is huge,and the resources needed are huge.

India next to us is also a populous country,and the entire Asia-Pacific is a huge population gathering place.

To support such a huge economy,it is necessary to open up a broader economic circle to increase demand and support economic activity.

Ultimately,it is to achieve economic leadership and support currency stability and security.

So,the demand for gold continues,and the bull market in gold may also continue.

For digital currency,because it is a new currency,speculation encounters bottlenecks,and the final anchor is also gold.

In short,everyone has their own reasons for existence,some are not easy to say,but there are also space restrictions.

So it is not too much expected,nor too pessimistic,as long as it is not a small country currency,there is not much problem.

But choosing major country currencies is usually the most ideal.

If the currency market is not good,it usually goes into the stock market.

Big A,Big A,when will you rise?

You are the weakest stock market in the world.

The A-share market now has more than 5,000 listed companies,and the marketization is advancing.

Generally speaking,internationalization is beneficial to value investment and growth leaders.

In the future,the funds entering the market will still be mainly ETFs.

And speculation will continue to focus on small-cap stocks.

Because the A-share theme speculation has a limit-up protection,so the theme speculation is very difficult to completely disappear.

If,I mean if,in case one day the limit-up and limit-down boards are canceled,then the junk stocks will not be able to stand it.

So the overall future stock speculation,at least in the current oversold market,is mainly looking for growth tracks.

Staying away from theme stocks is more secure.

The global currency is integrated,and it is usually impossible to buy gold only when so many small country currencies are eliminated.

Stocks will also be brought up,at least in the process of economic growth and integration,there is growth space in the leading stocks,value enhancement,and stock prices will also increase.

The world is so big,in fact,there is no need for too many currencies,and there is no need for too many stock markets and stocks,so the leaders are getting stronger and stronger.

There are more than 5,000 listed companies in the US stock market,and the rise is only 10%,and the ones that are strong are just a few technology leaders.

So in A shares,study and prepare for the future changes,prepare for this,and do a good job in high-growth leaders.