Will Rate Cuts Be the Ultimate Solution to America's Old Problem?

Rising long-end U.S. Treasury yields, gold strength, and dollar pressure fundamentally reflect a cyclical recurrence of America's fiscal credit issues. Huanchu Securities believes that, unlike 2025, this round sees AI giants' capital expenditure shifting toward external debt financing, directly competing with the Treasury for long-term funds and triggering market repricing. The current contradiction, whether resolved through natural economic cooling or proactive policy measures, ultimately points to monetary easing and rate cuts.