Global liquidity flooding and asset scarcity will be big probability events

In the last two months, global central banks have embarked on a new cycle of easing. In fact, it is not accurate to say that the new round of easing has been in the process of easing since 2008, but this year, starting in March, more intense.

 The United States is a typical example. The U.S. Treasury and the Federal Reserve teamed up to rescue the market, flooding global markets with a $2.2 trillion stimulus package, while the Fed set interest rates to zero and opened unlimited quantitative easing. Today, Treasuries are up to $2 trillion in two months, while the Fed's balance sheet is up to $3 trillion in two months.

 In the words of the governor of the central bank of china, this is a flood of global liquidity. More money naturally can invest in fewer products, so there may be a shortage of assets. The prospect of a high-quality asset shortage will be a high probability event, and the Chinese market will have all the performance. CNMOULDING suggests holding on to the slogan of quality assets so that people don't sell stocks at cheap prices. But, after all, quality assets are few, can be counted as excellent companies, the stock price has been heaven, look at Maotai, the stock price of more than 1400 yuan, market value is more than 1.6 trillion yuan, once more than ICBC. Therefore, the emergence of quality asset shortage is indeed a large probability, but quality assets are not cheap. This is a big bubble created by a global flood of liquidity, but it seems that the bubble will continue to blow.

 The best way now is to hold enough money to wait for good assets to emerge.