Chapter 275 Inflation, Real Estate, Currency and Money
There was a "squeaking" sound, and a stack of documents was printed out. Li Feng picked up the stapler, bound them carefully, and began to read them carefully.
This is the "China-Russia Joint Statement" released yesterday.
As two of the three permanent members of the UN Security Council, China and Russia met and issued a joint statement at such a sensitive time, attracting worldwide attention.
It can be said that this will have a significant impact on the international situation for at least the next ten years.
"Is it that serious? Why print it out? You won't go to the VIP room to trade stocks anymore..." Zhao Xinyue asked when she saw Li Feng concentrating on studying the printed statement.
"To a certain extent, this is more important than watching the market today," Li Feng said solemnly, "Take a look at what's inside. It can be said that the cards have been laid bare... Let me read it to you."
As he spoke, Li Feng softly read:
"The world is undergoing rapid changes"
"The world is becoming increasingly multipolar"
"Developing in a direction that is beneficial to emerging markets and developing countries, and promoting the democratization of international relations and international fairness and justice"
"Countries that cling to hegemony and power politics run counter to this, attempting to replace and subvert the recognized international order based on international law with a 'rules-based' order."
"Let's work together to promote a correct view of World War II history."
After a pause, Li Feng continued to sigh: "The world has been bitter and beautiful for a long time."
"The main contradiction now is not that other countries are challenging America's global hegemony, but that the United States has not yet truly realized that its ambitions are no longer commensurate with its own strength..."
"It could also be said that it may have realized this, but it's still unwilling to give up the hegemonic systems it has built in the past, relying on military, financial, technological, and economic hegemony... It still dreams of relying on this hegemony, which is gradually being lost, to enslave the people of the world without any effort..."
Zhao Xinyue didn't understand these international realities at all, so she couldn't help but pout and said:
"What's the point of researching this? Can it be used as money?"
"Why not?" Li Feng turned around and said with a smile,
"The current international situation is truly a major change unseen in a century. It will have a huge impact not only on international politics, but also on our domestic politics, economy, and stock markets."
"The US economy is suffering from a severe hollowing out of its manufacturing sector, anti-globalization efforts, and uncontrolled money printing, leading to a serious mismatch between goods and currencies and stagflation..."
"It's like putting a bomb in your arms that's ready to explode at any moment. If you don't have enough collateral to support the dollars you print, or if you can't eliminate the over-issued dollars, the end result will be a fireworks show..."
"At this time, not only does he not focus on his own reforms, but he also attacks everywhere..."
Li Feng talked freely.
Zhao Xinyue listened to a few words and became somewhat uninterested, so she muttered and changed the subject:
"Okay, okay, I get it. Let's not talk about this for now. Let's talk about the A-share market first. Look, it just broke through 3163 points a few days ago, and it seemed like it was going to go bullish. But why has it been falling every day these past few days..."
"Big A?" Li Feng hesitated for a moment, then looked at the Shanghai Composite Index on the computer screen. It opened high and closed low, and had unknowingly fallen to 3119 points.
On the market, yesterday's active banking, insurance and real estate sectors began to decline, and strong cyclical stocks also began to diverge. It can be said that it was another uninteresting and boring day.
After a brief pause, Li Feng said:
"It's only over 3,100 points, which is still relatively low. As long as you don't chase high prices, there's nothing to be afraid of. I've said repeatedly before that this year is a great year for investment. Loose policies at home and abroad are still brewing, and the best is yet to come."
"Besides, look at it, with the US facing stagflation, Europe at war, and Japan experiencing currency devaluation, only our assets here are relatively safe..."
After hearing this, Zhao Xinyue felt relieved and turned around to go out to buy groceries and prepare lunch.
Li Feng turned on the computer and continued to study yesterday's news.
Second, the Houthis shot down a US MQ-9 drone.
The Houthi armed forces have blockaded the Red Sea for more than half a year, greatly disrupting the supply chain in Europe, the United States and Israel.
Needless to say, there must be someone with great power behind the Houthis directing the US. The US is being attacked from all sides and disturbed from the east and west. It is unable to cope with the situation and is losing face as it is only concerned with the overall situation.
If this situation had happened in the past, the United States would have taken out a bag of laundry detergent and injected it.
But now, his strategic focus is on the East. He does not want to go to war here, nor can he go to war because of lax war preparedness and economic stagflation. It would be fine if he wins, but if he gets stuck in a quagmire like Afghanistan again, it would be like stepping on the accelerator on a downhill road and going all the way to the bottom.
It is safe to say that the United States is now only one war away from decline.
In the foreseeable future, as long as the Palestinian-Israeli issue is not resolved and the Houthi issue is not ended, there will even be African issues in the future.
Third, Japan's GDP in the first quarter shrank by 2% year-on-year, and exports fell by 18.7%!
When a wolf pack cannot find prey, in order to fill its stomach, the wolf king will shift its target to the weak ones in the pack.
When the US economy falls into the "stagflation" crisis, Japan and South Korea, these blood bags, must consciously sacrifice themselves to support the big brother.
The US hegemony is not only external, but also internal.
Therefore, the world has suffered from the United States for a long time. Not only the opponents suffer, but the United States itself also suffers.
Where there is oppression, there is resistance. In the foreseeable future, when the United States declines, those who are most active and thorough in opposing the United States may not be its opponents, but its former and most deeply hurt younger brothers.
Fourth, important policies were introduced in the real estate sector.
The meeting introduced a series of important measures.
The central bank has completely abolished the lower limit of interest rates for first and second home loans, lowered the interest rate on provident fund loans, and purchased "national reserve housing", etc.
Q&A with stockholders:
1. "Fat Brother Lincheng": Will you start making up stories during the performance window period?
It has already begun.
I believe that any hype that cannot be supported by performance is a pseudo-cycle, a fake cycle, such as the current booming real estate sector.
TJJ just released that the sales area of newly built commercial housing decreased by 20.2% year-on-year, and the national real estate development investment decreased by 9.8% year-on-year. Most real estate stocks are still suffering huge losses, and the situation is unlikely to improve in the foreseeable six months or even a year.
In this case, if the expected hype cannot be confirmed by performance, it will not be recognized by "value investors", and it will not form a financial synergy and will not last long.
Finally, I still believe that now is the downward cycle of the real estate market, that is, the bear market decline stage of the real estate cycle. It is okay to try to grab a rebound in a bear market, but be careful.
2. “The Great Monkey God’s Stock Trading Notes”: How the money from inflation flows into the hands of ordinary people.
In the previous major real estate cycle, my country mainly relied on the large real estate market (commodity) to create currency and distribute money to ordinary people more fairly, which led to inflation.
But now, the real estate market has collapsed, and this important and relatively fair medium of creation has lost its function. The new and relatively fair industry of creating currency and letting money flow into the hands of ordinary people has not appeared, so it has led to the current sluggish consumption (no money) and a period of deflation (a very dangerous situation).
Nowadays, some people say that we can rely on the stock market, some say on high technology, and some say on new energy and other industries to increase people’s income (distribute money).
However, these industries all have a shortcoming, which is that the employment opportunities and jobs they provide are not only few, but also limited to a certain group of people. They are not universal, and are far different from the real estate industry.
The real estate industry can connect to finance upwards and directly reach the hands of the most basic migrant workers downwards. It is a pillar and inclusive industry that truly connects the sky above and the earth below.
Therefore, at this stage, the real estate industry must be saved and maintained, but in addition to this, a pillar industry that can replace real estate and benefit everyone (creating currency, that is, distributing money) needs to emerge.
This is an extreme test of the trader's skills.
Before we knew it, the midday session opened, and the real estate sector began to soar again under the stimulation of favorable factors. Vanke, Poly, and Gemdale rose straight up by more than 4%!
Fellow stockholders, while you are happy, please urge us to send more love.
Your support is my motivation to update.
Continue read on readnovelmtl.com
