Using the most direct data to analyze it, the US dollar index soared from its low of 94.63 in the first half of the year to its intraday high of 110.28, up more than 16.48%, which is higher than the total yield of US five-year Treasury bonds.

How strong is the dollar index in the first half of 2022? This will cause the RMB exchange rate to plummet by 6,450 basis points, and even reach a near the 7-integer mark. Using the most direct data to analyze it, the US dollar index soared from its low of 94.63 in the first half of the year to its intraday high of 110.28, up more than 16.48%, which is higher than the total yield of US five-year Treasury bonds. The currency band will not be unilateral, but the balance principle will rise and fall. The one who has the most currency plunge this year is not the victim of the Russian-Ukrainian conflict, Russia's ruble (the main reason is that the European and American financial blitzkrieg hit Russia without success. Russia's energy policy natural gas export forced the ruble to settle, defeating the enemy with one move, and the ruble quickly recovered the lost territory after the plunge); while the yen has become the biggest stake in the Russian-Ukrainian conflict. The yen has exchanged from a high of 102.58 yen in 2021 to a US dollar, and today's intraday low of 140.58 yen to 1 US dollar, and the yen plummeted by 37.14%. It is conservatively estimated that the loss of the yen this year is US$650-800 billion.

RMB has become the world's strongest currency and major settlement currency except the US dollar. Because the euro fell below the 1 mark in the first half of the year, and today the intraday low reached 0.9878 USD to 1 euro, setting a new low in 20 years since 2002, depreciating by 13.9% this year; the pound depreciated by 16.72% year on the USD, and the RMB offshore settlement price fell 10.13% year on the year, making it the currency with the least depreciation against the USD among the major currencies in the world. Although the settlement of the RMB against the US dollar has depreciated strategically, the RMB is still in an appreciation stage compared with mainstream currencies such as the euro, the pound, and the Japanese yen. Many people will be curious, why didn't I say Russian ruble exchange rate ? Because the Russian ruble is not the mainstream currency, the market share in global trade is also very low, and even the China-Russia trade settlement uses RMB swap agreements. (Mainly, during the crisis in Russia in the past few years, China and Russia signed a natural gas agreement of US$300 billion and settled in RMB. This is the most important step for the RMB to internationalize and an important layout for China's energy security) Why did the

yuan index soar? What is the main purpose behind it? The surge in the US dollar index is mainly due to the Fed 4 hikes in since March this year. The interest rate of the US dollar soared from the original 0.25% to 2.5%, which attracted global hot money to return to the US mainland; especially this year's conflict in Russia and Ukraine has led to the soaring of energy, food and prices in Europe. The outlook for the European economy has shown unprecedented panic, and the large amount of hot money flowed out to the US dollar area with higher interest rates. The main purpose behind it is to ease domestic economic crisis and inflationary pressure by creating other regions. In the past 50 years, the United States has relied on fighting and creating economic crises to harvest global leeks. Behind the Japanese economic crisis in 1985, the Asian financial crisis in 1996, the global financial crisis in 2008, and the European debt crisis in 2011 were all caused by collusion between American politicians and capital.

Will the increased risk of RMB breaking 7 have an impact on China's economy? The depreciation of the offshore settlement exchange rate of the RMB should be the tactical operation of the national team, and it is within a controllable range. Even if it breaks through the 7 integer mark in a short period of time, it will not affect the long-term appreciation trend of the RMB. Another angle analysis is that the biggest beneficiary of the surge in the US dollar index is China; China is a large holder of US dollar foreign exchange reserves and US bonds, currently holding US$3104 billion and US $950 billion. The surge in US dollar index gives us the opportunity to harvest US dollar leeks in advance. Since the Sino-US trade war in 2019, China has reduced its holdings of US dollar foreign exchange by US $1.2 trillion and US $220 billion. The United States has also aimed at attracting more capital to buy US dollar and US bonds, and hedging the selling pressure of and Chinese and European countries to continue to reduce their holdings.

Chinese RMB has completed the exchange of currency with in 38 countries and regions, with a total amount of 3.41 trillion yuan, and the trend of internationalization of the RMB has become unstoppable. The RMB has become the monetary basis recognized by major countries in the world, and it is China's largest consumer country in the world. Doing business with China can obtain the world's largest single consumer market resources. This is our confidence.Many major economies (the European Central Bank, the Bank of England, German Central Bank , Russian Central Bank , Japan, South Korea, Malaysia , Indonesia , Iran , Saudi ) have begun to skip the US dollar. After signing a RMB swap agreement with China, it can use RMB quotations as the new trade settlement currency within a certain amount. This year, amid the global economy, China-Russia trade has exceeded US$140 billion in the first half of the year, an increase of 16%; the China-Europe freight train reached RMB 3.45 trillion in the first half of the year, an increase of 7.3%; the trade volume of ASEAN reached US$544.9 billion, an increase of 13.1%.

The biggest difference between Chinese and Americans is that we not only fight, kill, but also achieve our goals through coercion and temptation, Power politics , nor will we create wars and economic crises like the United States in exchange for huge ill-gotten gains. The wisdom of the Chinese is not just as simple as transferring backward production capacity to Africa, and making the ASEAN agreement realize the Asian integration strategy. After our Belt and Road strategy is implemented, it can connect sea and land trade in Asia, Europe and Africa on the three continents of the world. AIIB strategy can join hands with 57 countries to establish a new world-class basic investment bank because we have the world's infrastructure capabilities first, manufacturing capabilities first, and high-speed rail and new energy industries first. If we have interest relations, we can become new strategic allies, especially developing countries. The United States' powerful economy brings wars and economic depressions in other countries, and the future will inevitably decline, and China's gentlemanly and different strategies will surely take charge of the world.