Here is the English translation of the provided text: The moment of historical turning point has arrived!

The global wave of interest rate cuts is coming,and the Chinese yuan has begun a major counterattack.

What does this mean for us ordinary people?

Is it the arrival of good times?

So,what should we ordinary people do?

This episode is very important for you,let's take a close look.

Previously,the European Central Bank,Canada,Switzerland,Sweden,the UK,and some other Western developed countries started to take the lead,cutting interest rates before the US dollar.

Now the Federal Reserve's shoe has finally dropped,and with the US dollar cutting interest rates by 50 basis points,it can be said that central banks around the world are now eager,and a global wave of interest rate cuts is on the way.

For example,the Hong Kong Monetary Authority,the Central Bank of Kuwait,the Central Bank of Bahrain,the Central Bank of the UAE,and the Central Bank of Qatar have collectively announced interest rate cuts.

And the central banks of several Southeast Asian countries are also at the beginning of the interest rate cutting cycle.

Countries like the Philippines and Indonesia have already cut interest rates,and Thailand is also preparing to cut interest rates.

At this time,some people will say that the US dollar interest rate cut just allows the US dollar to flow back to various countries,so when countries start cutting interest rates again,isn't this hedging the effect after the US dollar interest rate cut?

To put it simply,that is,when the US dollar raises interest rates,other countries in order to avoid the collapse of their own exchange rates and capital flight,other countries also have to choose to raise interest rates,and if you don't raise interest rates,the fate that awaits you is bankruptcy,and Sri Lanka is the best example.

However,blindly raising interest rates,to put it bluntly,the United States can rely on harvesting the wealth of other countries to maintain the development of its own economy,but what about other countries?

Who can you harvest?

It can be said that in the end,you can only harvest your own people.

At this time,the people of non-US dollar currency countries can be said to be suffering.

The increase in domestic interest rates means that the debt of the domestic people is increasing; the suppression of market demand means that it is even more difficult for everyone to make money.

It can be said that everyone is suffering.

Well,now that the US dollar has finally cut interest rates,countries have chosen to follow the US dollar's interest rate cut at the first time,which undoubtedly can immediately reduce the pressure on the people of their own country,release the domestic market demand,and thus promote the development of the domestic economy,making it easier for everyone to make money.

It can be said that countries are eager to cut interest rates for survival,and allowing foreign capital to flow back is for a better life.

So which one is more important?

At this time,some people will say,then why doesn't the Chinese yuan cut interest rates immediately?

In fact,it's not that the Chinese yuan doesn't cut interest rates,but the Chinese yuan has already cut interest rates many times before.

So far this year,our country has cut interest rates 2 to 3 times,with a cumulative interest rate cut of 20 to 45 basis points.

Now the mortgage interest rates in some cities in our country have been reduced to 2.89%,and the interest rates of some consumer loan products have also been reduced to 1.88%.

Compared with other countries that are still maintaining high interest rates,now that the US dollar has cut interest rates and the Chinese yuan has not cut interest rates for the time being,it is also normal.

At this time,some people will say,why can China cut interest rates many times before the US dollar?

Are you not afraid of the US dollar funds flowing back?

In this regard,I can only say that China's national conditions and monetary policy are different.

One is because China has a strict foreign exchange management mechanism,you can go to understand the "Mundell's impossible triangle" theory.

That is to say,it is easy for you foreign capital to enter,but it is difficult to go out.

Two is because our country has a huge domestic demand market and a complete industrial chain advantage,in the eyes of global investors,Chinese assets are still very worth investing in.

To take a step back,our country is still the world's largest foreign exchange reserve country,and the scale of our country's foreign exchange reserves at the end of August was 3.2882 trillion US dollars.

It can be said that our country has a lot of money to intervene in the US dollar exchange rate and maintain the value of the Chinese yuan.

So,even if the US dollar raises interest rates again,first,the money that foreign capital earns in China is not easy to transfer out,and second,the market prospect in China is very optimistic,and the Chinese yuan is so strong,then why should I go through this trouble?

Well,then the question arises,as central banks around the world have started to cut interest rates one after another,this means that the Chinese yuan is appreciating against other currencies.

Now the exchange rate of the Chinese yuan against the US dollar has risen to 7.04.

So what does this mean for our country's economy and us ordinary people?

From the perspective of the overall environment,the appreciation of the Chinese yuan,of course,makes global investors more willing to invest in China!

A CEO of a well-known British hedge fund said before that if the US dollar cuts interest rates,the Chinese yuan will appreciate by 10%,and at that time,1 trillion US dollars will enter the Chinese market.

That is because although our country has very strict regulations on foreign exchange,capital is profit-driven.

So,the more stable the economy of a country,even if your policy control is very strict,they will try every means to come in.

On the contrary,those countries with weak economic foundations,even if the US dollar cuts interest rates again,and the monetary policy is more relaxed,I am afraid that capital is also unwilling to enter,because they have no assets to invest in when they enter!

In addition,the appreciation of the Chinese yuan is also conducive to other countries being more willing to use the Chinese yuan to settle international trade.

Because if you want to use the currency of a certain country to settle trade,first you have to reserve such currency.

So why don't other countries trade with Zimbabwean dollars?

That's because I'm afraid you haven't even reserved Zimbabwean dollars yet,and its purchasing power will be discounted.

Let's look at a set of data: the Chinese yuan has been the world's fourth-largest payment currency for 9 consecutive months,and the proportion of international trade settlement has risen to 4.74%!

It can be said that as central banks around the world start the wave of interest rate cuts,the Chinese yuan has officially started a counterattack!

In the future,the proportion of the Chinese yuan in international trade settlement will also be further improved.

This will further strengthen our country's current investment environment and influence in the international community.

Next,let's talk about what impact this has on us ordinary people?

From the perspective of the overall domestic and foreign environment,the Chinese yuan is now depreciating internally and appreciating externally.

Based on this condition,there is still room for the Chinese yuan interest rate to decline.

Of course,this is a good thing for us ordinary people.

Because this will continue to release our economic pressure,reduce our living burden,and we don't have to worry about entering the interest rate hike cycle like Japan immediately.

In addition,because the Chinese yuan has become more valuable internationally,our travel abroad,shopping,and the raw materials imported by enterprises will become cheaper,which will also suppress our country's price level to a certain extent,and the purchasing power of the Chinese yuan will become stronger.

Moreover,a large amount of foreign capital has come in,and in a sense,our country's investment environment has improved,and everyone's employment environment has improved,which will indirectly drive the rise of our country's asset prices,and we don't have to worry about the continuous devaluation of assets.

Finally,we ordinary people must not take advantage of the appreciation of the Chinese yuan to invest abroad indiscriminately,and buy blindly.

Because although it seems that foreign assets are depreciating at this time,due to the unstable international environment,and the central banks of various countries have just entered the interest rate reduction channel,I can only say that compared with Chinese yuan assets,foreign assets are now not the lowest,but only lower.

Finally,I want to say that the Chinese yuan has started a major counterattack,we have ushered in a historical turning point,and this moment is very beneficial for us ordinary people.

Because the domestic and foreign purchasing power of the Chinese yuan has become stronger,and the domestic business environment has become better.

So the rest is just to roll up our sleeves and work hard!