Market participants have essentially abandoned hedging strategies against policy uncertainty—and there's solid reasoning behind it. When governments artificially suppress borrowing costs through interventionist measures, we typically see inflation resurface. Here's the catch: once that happens, both stocks and bonds won't stay isolated from the fallout. They'll reprice sharply. The conventional wisdom that inflation can be managed quietly no longer holds in today's interconnected markets.

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • 5
  • Repost
  • Share
Comment
0/400
RumbleValidatorvip
· 6h ago
The government lowers borrowing costs, but isn't it just inflation that ultimately reaps the benefits? I'm tired of this trick; the data is right in front of us. Hedging and such are just not sustainable; in the face of systemic risk, they are all paper tigers.
View OriginalReply0
rekt_but_vibingvip
· 6h ago
Haha, the big government lowering borrowing costs is really unsustainable. Inflation will rebound sooner or later, and then stocks and bonds will plunge together.
View OriginalReply0
SoliditySurvivorvip
· 6h ago
The central bank is causing trouble again, and us retail investors have to suffer the consequences.
View OriginalReply0
CryptoWageSlavevip
· 6h ago
Damn, playing with fire with policies is really risky, sooner or later you'll have to pay up.
View OriginalReply0
¯\_(ツ)_/¯vip
· 6h ago
Once the policy causes trouble, the hedging strategy will cool off; it's been obvious for a long time.
View OriginalReply0
  • Pin

Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)