Weekly

The cumulative number of infected people in novel coronavirus is close to 21.98 million, and the number of confirmed deaths has increased by more than 776,000. In the United States, about 34,000 people were diagnosed with new pneumonia yesterday.

The cumulative number of infected cases exceeded 5.6 million, and it continued to be the country with the largest number of infected cases in the world. Last night, the United States released the index of the overall business situation of the Federal Reserve Bank of new york, which greatly deviated from the forecast of economists.

According to the survey, the median budget is 15, while the reported figure has dropped from 17.2 last month to 3.7, and the expansion speed is obviously lower than expected, indicating that novel coronavirus continues to block the economic recovery momentum.

Although the novel coronavirus epidemic is still serious, there is no formal vaccine production to fight the virus. However, because local governments have taken strict measures to control the spread of the virus, the epidemic situation can be said to have passed the peak period.

However, the role of the dollar refuge has gradually declined, and some fund managers have played down the dollar exchange rate. This is the first time in nearly three years that a fund manager has played down the dollar.

Earlier, the International Monetary Fund (IMF) published a report, pointing out that due to the impact of the pneumonia epidemic in COVID-19, the central banks of various countries continued to make quantitative easing to stimulate the economy, which aggravated the fluctuations in the currency and financial markets.

Coupled with trade tensions, the balance sheets of many economies have reached historical highs. The IMF also pointed out that the US dollar was overvalued by 8% to 14% last year due to the high fiscal deficit of the United States.

I am glad to see the recent depreciation of the US dollar to some extent. The report also mentioned that considering the dominant position of the US dollar as the global reserve currency, it is believed that the market demand for US Treasury bonds will remain strong.

The US dollar index rose to a high of 102 in March this year, and then fell back and forth. It fell below 93 yesterday and closed at the lowest level of 92.8 yesterday. Warren Buffett has made new moves.

He spent $560 million through its flagship investment company, Ba County, to buy BarrickGold, which is listed on the New York Stock Exchange under the code name "GOLD".

We should know that Buffett has always been a value investor. He thinks that gold can't charge any interest, has no double growth effect, and has to pay storage fees and insurance premiums, which eats into the interests of the company, so it is not attractive at all.

However, this time we switched to buy the world's largest gold mining stock, although we did not invest directly in gold, but we bought shares when BarrickGold did not report that we had found a new mining source, obviously seeing the potential of gold appreciation.

Coupled with the Federal Reserve's unlimited quantitative and loose printing of silver paper, and the US government's continuous issuance of bonds to relieve the people's hardship, the US dollar continues to be weak, and Buffett can't watch the $130 billion in cash held by Ba County continue to depreciate.

Although the investment amount of Warren is only a small amount, it can be said to be of great significance. With the continued weakness of the US dollar and the blessing of Warren Buffett, the price of gold did well yesterday, and finally closed at 1985 US dollars per ounce, up 40 US dollars or 2%.

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