Recently, I came across a set of US economic data that’s quite interesting and worth paying attention to for those involved in trading.

The data tracks the price changes in the US over the past 25 years (2000-2025). Overall inflation has accumulated to 92%, which seems manageable. But when you break it down, it’s like two completely different worlds.

Essential goods are simply outrageous. Hospital visits have surged by 275%; college tuition has increased by 196%; hiring a nanny for elderly care has gone up by 185%; and healthcare services overall have risen by 129%. You can’t avoid these expenses—they’re necessary and must be paid, effectively passively absorbing costs.

On the other hand, the prices of tech products tell a different story. TVs are 98% cheaper than 25 years ago, software has decreased by 75%, and toys are 74% cheaper. Technological progress is really giving consumers discounts.

How will this divergence affect asset allocation? It’s simple—those holding cash are seeing their real costs for essentials being eroded, while owners of tech assets and deflationary products are experiencing a form of appreciation. This also explains why hedge assets and alternative investments have gained more attention in recent years.

Although the US inflation rate has fallen back to 2.7%, which sounds good, don’t forget a detail: current prices are still 25% higher than in 2020. Moreover, core areas like healthcare and real estate have seen far greater increases than the average. For ordinary households, purchasing power continues to be squeezed. This long-term rise in real costs is driving people to rethink their asset allocation strategies.