Initially, it was thought that the start of the Federal Reserve's interest rate cut cycle would mark a gradual weakening of the US dollar and a moment for global economic recovery. However, unexpectedly, the US dollar index has been strengthening recently, rising from around 100 to 104, while the Chinese yuan has plummeted by nearly 1700 points in total.

Even more exaggeratedly, the Japanese yen has once again experienced a sharp decline, reaching the level of 152. The US Beige Book is betting that the US will only cut interest rates by 25 basis points. Is the US planning to reap another round? Will the momentum of the A-share market be interrupted? Will 3300 points become the end of this bull market?

Is the US planning a second round of reaping?

As the US election approaches, the US's operations are becoming increasingly enigmatic. It was initially thought that the US dollar would enter a weak cycle, but surprisingly, the US dollar has been strengthening recently, and currencies of various countries are once again in a state of continuous decline. Is the US planning a surprise attack on the global stage?

We all know that the US dollar and gold have always been in a seesaw pattern; when the US dollar index rises, it means gold falls. However, recently, both have exhibited resonance, with the US dollar strengthening and gold continuously reaching new highs. Most strangely, currencies of other countries are once again under pressure.

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It should be noted that this is not the US's interest rate hike cycle but its interest rate cut cycle. Logically, the US dollar should weaken, but it has taken the opposite form.

Currencies of other countries are also weakening, with the Chinese yuan reaching around 7.13, a drop of 1300 points from its peak. Japan is no exception, reaching the position of 152.

It is important to know that Japan's previous large-scale market rescue points were only around 155 and 161, and now it has reached 152. This means that Japan is once again in crisis. It can be said that everything is unfolding in such a peculiar manner.And this implies that there is some force behind all of this. As we all know, the essence of the United States' interest rate cuts is that this round of interest rate hikes did not reap benefits from other major economies, but instead harmed itself. Therefore, to avoid being passive, it must start a cycle of interest rate cuts.

Moreover, the initial cut of 50 basis points can be said to be far beyond market expectations. However, at present, the Federal Reserve is acting unusually, either saying that the cuts are too much or that future interest rate cuts in the United States will either be small, with a maximum of 25 basis points, or there might be no interest rate cuts at all. They even talk about returning to using inflation indices as a guide.

But is the reality really like this? In fact, it is not, because just as the Federal Reserve was talking about the extent of interest rate cuts, Canada next door directly cut interest rates by 50 basis points, and the European Union is also eager to try.

Canada is even seen as a leading indicator of the United States. Now that Canada has started a 50 basis point interest rate cut, can the United States escape?

Moreover, is the rise of the US dollar index and the depreciation of various currencies really because the US economy is better than expected? I think the issue behind this is not so simple, after all, how much of the current US data is real?

Will the A-share market at 3300 points be the end?

In fact, the United States is currently pretending that its economy has no problems, while on the other hand, it is using external moves to do more for the United States and short the world, which will inevitably affect China. However, for China's stock market, it may just be an adjustment at a high level.

All the data that the United States is doing now is to support one point, that is, the US economy can achieve a soft landing, and at the same time, it is important that the US economy does not have any issues during the election period and the transition period of the US president.

This also means that at present, the United States must send a strong voice to the market. Therefore, we see that whether it is the US's large non-agricultural data or the high-level officials of the Federal Reserve, they have started to express that the US economy is good, and the urgency of US interest rate cuts has decreased.However, Canada next door immediately countered with a 50 basis point hike, which is enough to illustrate that the United States has a very serious issue, only it has been concealed.

Moreover, the significant interest rate cuts by Canada and the European Union serve as a support for the United States, while the U.S. is also pressuring Japan not to raise rates. As a result, we have seen the Bank of Japan recently state that rate hikes will be postponed, leading to a further devaluation of the yen.

All of this is actually the United States using means beyond the economy to bolster its own economy, because only in this way can the U.S. draw blood from its allies and thereby stabilize its economy and the upcoming elections.

As for us, it's because our currency is pegged to a basket of currencies, and now that global currencies are falling, we naturally need to adjust. However, among all currencies, the renminbi is relatively strong.

As for whether the United States' sudden shift will again target our stock market, making the 3300 point level of our A-shares a swan song, that might be overthinking it.

Because our willingness to act implies that this is an unsolvable chess game, not to mention that there are more cost-effective options in the global capital markets than us.

And it's important to recognize that U.S. interest rate cuts are a given; whether they are large or small, the U.S. must lower rates, and for now, it's just that people believe the U.S. rates are still high and profitable. After a while, it will become apparent that the U.S. return on investment is already very low, and that's when a large amount of capital will enter.

Thus, the present is not the end, but the beginning of everything, and our stock market is a step towards becoming a global financial powerhouse. Therefore, this is a long-term event, and as long as we persist, we will reap tremendous rewards.