On the early morning of September 19th, the Federal Reserve exceeded expectations by cutting interest rates by 50 basis points, marking a formal shift from the tightening policy that had been in place since March 2022, lasting for two and a half years.

The days of money scarcity are finally looking up.

At the same time, it can be inferred that the American leadership remains rational, and for this, the Federal Reserve deserves a thumbs up.

For us, there are at least three positive implications: 1.

There are boundaries to great power confrontations; 2.

The external environment is cooling down; 3.

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The economic recovery is expected to accelerate.

Although the crisis is still lurking, it has at least provided more buffer time and space to address the issues.

Looking forward, in the current environment where uncertainty is the only certainty, we cannot be too demanding.

Being able to solve the most urgent problems is already a great fortune.

Firstly, during the last century's Cold War between the US and the Soviet Union, the US dollar was at its most aggressive, pushing interest rates up to 10% and maintaining them for a long period.

In this round of the US dollar's interest rate hike cycle, which lasted a moderate 2.5 years, the highest interest rate only reached 5.5%.

It is clear that the US has realized that the situation has changed dramatically since the 21st century.

The current comprehensive strength of the East is only stronger than that of the Soviet Union at that time.

The old tactics of the Cold War are outdated.

To defeat an opponent, one must find a new path.

Secondly, the interest rate cut of the US dollar undoubtedly sends a message to the outside world: the US has admitted that it does not have a sure grip on us.

In recent years, those who have been stirring up trouble around China, acting like a paper tiger, and disturbing regional peace, now have to stop and think carefully.

Since the leader has chosen to give up using force, what capital do the followers have to hold on?

The tension in the surrounding areas is likely to cool down, and everyone can quietly focus on the economy, which is a joyous thing.

Thirdly, a global currency maintaining high interest rates for a long time is inherently a very distorted behavior - who would bother to invest and take on various unknown risks when they can just lie flat and get a 5% annualized return?

If this situation is allowed to spread across regions for a long time, it is very likely to lead to a global economic depression or even trigger conflicts.

This is not an exaggeration.

Now, the Federal Reserve has finally chosen to prioritize the overall situation, which must be said to be a blessing for the American people and the people of the world.

The renowned geostrategist Kishore Mahbubani once said: "There has never been a benevolent great power."

The implication is that since the beginning of human history, the law of the jungle has existed and played a role.

If the US dollar just holds on and does not cut interest rates, what can you do about it?

In a sense, this is similar to the issue of patents - is there any individual, organization, or country willing to share their high-tech patents with the whole world?

Yes, but very few.

From this beginning, it is likely that there will be two more interest rate cuts in the US dollar this year, and the outflow of capital is finally expected to stop.

The real estate market, stock market, and other industries are ushering in a dawn, which is a joyous occasion for all.