Lates News

The research report of Zhongjin Company believes that since June, the market has started a continuous adjustment: on the one hand, the US dollar index has broken through the upper limit of the fluctuation range of the past year; on the other hand, indexes in the global capital market that are greatly influenced by AI prosperity and US dollar liquidity are generally experiencing a pullback. Defensive sectors have taken the upper hand in the style adjustment within the US stock market. The research report believes that the main driving force behind this series of adjustments is the fermentation of interest rate hike expectations and the marginal tightening of US dollar liquidity. It reiterates its previous judgment that the main driver of the adjustments is the further deregulation of the banking industry by the so-called "hawk pretending to be a dove" Powell at the Fed this year, aiming to maintain the prosperity of the investment cycle for the landing of AI to improve economic efficiency and gain time. The market may initiate "lagging curve" trades after this round of adjustments, with the US dollar index possibly returning to a weak fluctuation range. Real assets, industrial sectors, and technology still have expansion potential, and attention should be paid to the impact of financial deregulation on traditional cyclical sectors.