Forget hedging against policy uncertainty—the market's already done that. Here's the problem: when governments try to artificially suppress borrowing costs, inflation usually comes knocking. And when it does, both stocks and bonds get hit hard. So investors sitting in these assets aren't just betting on policy direction anymore. They're betting that stimulus won't reignite price pressures.
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MEV_Whisperer
· 21h ago
Basically, it's a gamble on whether the government can hold the line and not flood the market. If they lose, both of us will get beaten.
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TokenStorm
· 21h ago
Just now, I backtested historical data. Every time policies lower borrowing costs, inflation jumps out to bite. Can we avoid it this time? I bet not.
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EthSandwichHero
· 21h ago
Here we go again, the central bank wants to suppress borrowing costs again. Will it work this time? History tells us it usually doesn't...
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MEVictim
· 21h ago
Basically, it's the government forcing up borrowing costs. When inflation finally hits, no one can escape—both stocks and bonds will suffer.
Forget hedging against policy uncertainty—the market's already done that. Here's the problem: when governments try to artificially suppress borrowing costs, inflation usually comes knocking. And when it does, both stocks and bonds get hit hard. So investors sitting in these assets aren't just betting on policy direction anymore. They're betting that stimulus won't reignite price pressures.