Shorting China? The Sino-US financial war escalates, the Fed suddenly turns, and Biden makes a last-ditch effort. Since 2024, the Sino-US financial war has shown an escalating trend, and the US has made many moves that are considered to be intended to "short China". Specifically, Texas Governor Abbott issued decrees for three consecutive days to restrict Chinese investors' investment in Texas, prohibit Chinese companies from purchasing land, and restrict their investment in energy, communications and agriculture. Other Republican-led states may follow suit. In addition, according to Deutsche Welle, the Biden administration plans to introduce new export restrictions on China to further suppress the development of China's high-tech field. It may include up to 200 Chinese chip companies on the restricted list, and may also introduce a broader export restriction plan for the field of artificial intelligence next month. At the same time, the Federal Reserve The policy suddenly turned. The minutes of the November meeting showed that its interest rate cut tendency has changed. The probability of a 25 basis point interest rate cut in December has dropped to about 63%. The reasons for the change include that the US economy may face greater pressure due to high interest rates and need to cut interest rates preventively, the US debt problem has caused the government to pressure the Federal Reserve to cut interest rates, and the interest rate cuts in next year's election will help activate the capital market and benefit Biden.

Some people believe that Biden is making a last-ditch effort. Because there is not much time left in his term, he wants to take advantage of the current uncertainty in the United States to attack China. If he fails, the cost will be borne by Trump who will take office later. As for the various actions of the United States, China will also take resolute measures to firmly safeguard the legitimate rights and interests of Chinese companies.$SSV $SSV