Deutsche Bank AG(US:DB) Hua Er Jie Jian Wen·2025-09-23 01:32Group 1 - Nvidia's significant investment in OpenAI has reignited the AI boom, leading to record highs in the three major U.S. stock indices and the Philadelphia Semiconductor Index, reflecting heightened market sentiment [1] - Risk assets and safe-haven assets have both reached historical highs, raising questions among investors about whether the market has achieved "perfect pricing" and if it has fully reflected all positive factors, potentially limiting future gains [3] - Deutsche Bank's report suggests that the market is far from "perfect pricing," indicating that concerns about future risks provide potential upside for the market [3][4] Group 2 - The report outlines five key reasons why the market is not "perfectly priced," starting with the historical high in gold prices, which signals market fear rather than extreme optimism [4] - Current U.S. inflation expectations remain elevated, with the 2-year inflation swap rate at 2.92%, indicating that inflation pressures are priced in, which limits the Federal Reserve's ability to cut rates [7][5] - Ongoing tariff concerns persist, with potential for additional tariffs on pharmaceuticals, semiconductors, and critical minerals, reflecting unresolved risks in the market [8][9] Group 3 - The U.S. labor market shows signs of concern, with non-farm payroll growth averaging only 64,000 over the past six months, the lowest in the current economic cycle, and an unemployment rate of 4.3%, the highest since late 2021 [9] - There is a widespread expectation among investors for further interest rate cuts by major central banks, particularly the Federal Reserve, which reflects concerns about potential economic slowdown rather than strong economic signals [10]