Recently, the global financial markets are undergoing a major transformation led by the Fed. The Fed decisively initiated a rate cut cycle in September and followed up in October and December, a series of measures that have toppled a row of dominoes, triggering profound changes in the global financial system. This transformation not only affects the trend of the dollar but also touches the core of global monetary policy, reshaping the fundamental logic of capital flow.

The future trend of the US dollar has become the focus of the market. Although the dollar index is currently performing strongly, this is more due to the relative advantage brought by the weakness of the European economy, rather than the true strength of the US economic fundamentals. The Fed's continuous interest rate cuts, combined with a loose fiscal policy orientation, are gradually weakening the dollar's credit foundation. Even though the trade agreements reached between Japan and Europe with the US have limited impact on the dollar, the controversies present in the non-farm payroll data have begun to affect the dollar's trend.

The underlying logic of the United States adopting a dual monetary and fiscal easing policy is not complex. This strategy not only dilutes the attractiveness of the dollar as a reserve currency but also serves as the U.S.'s usual method for addressing structural economic issues. The depreciation of the dollar helps to alleviate the heavy debt burden on the United States while improving the trade deficit situation by enhancing export competitiveness.

For other countries, this series of measures by the Fed contains significant opportunities. The restructuring of the global financial landscape is quietly unfolding, and nations need to carefully assess the direction of their monetary policy and prepare for potential changes in capital flows. During this period of uncertainty, flexibly adjusting strategies and seizing emerging opportunities will be key for countries to respond to global financial changes.