#Finance##Commodities#Is there a direct relationship between the US dollar and domestic commodity prices? some. In recent years, especially during the epidemic, the Fed has implemented unlimited quantitative easing, a large number of them

#Finance ##大宗商品 #

Is the dollar directly related to domestic commodity prices?

some.

In recent years, especially during the epidemic, the Federal Reserve has implemented unlimited quantitative easing, issued a large number of DOLLARs, and flowed into China through trade and US dollar assets, and China must increase its currency injection and expand its balance sheet to hedge the import of US dollars. China's M2 remains high at 9% to 12%, the money supply remains high, and quantitative easing in currencies has pushed up asset prices.

Another reason, China is also an importer of iron ore, lead, copper, soybeans, oil and other commodities, foreign countries affected by the epidemic, production capacity and transportation are greatly affected, as well as Australia and other geopolitical impacts, imports have decreased significantly, prices have risen, resulting in higher prices of commodities.

As can be seen from the futures prices of commodities, the prices of iron ore, lead, copper, oil, etc. have risen from around February 2020 to the present, and the prices of some commodity futures have doubled.