Global Inflation Chart: The U.S. is still hiking rates, China is fighting deflation—where should your money go? The U.S. decides whether global money is tight or loose, while China determines how RMB assets are positioned. U.S. Stocks: The killer isn’t just high inflation—it’s high inflation *and* rate hikes. With the 10-year Treasury yield at 5.3%, any company that only makes money 10 years down the line is worthless. Money will flow to two extremes: short-term bonds yielding 4% for easy returns, or a few companies generating profits right now, like those in computing power. Chinese Stock Market: Low inflation means weak domestic demand. Don’t expect surprises from consumption or cyclical sectors. The only plays are in three areas: export-driven companies (August exports up 25%), policy-backed sectors (AI, infrastructure, anti-“involution”), and dividend-paying stocks. With low inflation, bonds are safer than stocks. For stock market opportunities, you’ll need to wait for stronger policy support or looser global liquidity. Bitcoin: It’s a magnifying glass for liquidity. If U.S. inflation doesn’t cool and the Fed keeps hiking, Bitcoin will take the hit. Every time U.S. data beats expectations, it’s bad news for crypto. But when U.S. inflation and employment both soften and rate hikes fail, Bitcoin will rebound the fastest. The U.S. real interest rate is the master switch for global assets, while China’s deflation determines the pecking order of RMB assets. Oil prices are the one variable that can mess with both sides at the same time. So, the most comfortable strategy right now is: - Short-term bonds and cash as your foundation - U.S. stocks: only buy companies making money now - RMB assets: favor bonds over stocks - Bitcoin: will rise the fastest when U.S. inflation softens