OBELA Analysis

During 2024, the planet, specifically the northern hemisphere, showed worrying temperature anomalies. After record-breaking summer heat, the scientific community is confident that 2024 will be the hottest year on record. Droughts and forest fires remained the most prevalent weather phenomena during the first six months of Year 24, but they are not the only weather events exacerbated by climate change.

In 2024, the price of gold increased significantly, driven by China, which reduced its holdings of U.S. Treasury bonds and expanded its gold reserves. In the same vein, interest rates have fallen globally, which also boosts the price of gold. On the other hand, demand for the yuan as an exchange currency in intra-Asian trade has grown, especially in transactions between the Red Dragon and its trading partners or with countries sanctioned by the U.S., such as Russia, which reduces the use of the dollar. On the other hand, demand for the yuan has increased for international trade as a result of Washington's sanctions against 26 countries, showing a loss of the dollar as a medium of exchange. This article will analyse the rise in the price of gold during 2024, driven by the strategies implemented by the People's Bank of China (BPdeC), such as the issuance of dollar bonds and whether they consolidate the yuan as a reserve currency and turn the country into a global financial power.

In the year of the Dragon 2024, there were two major technological business problems that shook the world. On the one hand, a Boeing vehicle flew into the international station and could not return, and on the other, Volkswagen announced the closure of two very large factories. These are symptoms of the technological and productivity problem in the West and its inability to compete with the East, beyond China. It was a year in which the economies of Asia grew again at rates above 5% and those of Latin America and Europe at less than 2%, with the US at a similar rate. The fiscal deficits of the G7 economies maintained their high trend and the public debts of these economies continue to rise above 100% of GDP, with no signs of reducing. The US is projected to continue to increase, while its GDP grows very moderately and with a massive external deficit despite neo-protectionism.