Core Insights - Current market sentiment is rapidly warming, with investors showing increased confidence in the "cyclical style return" [1] - There is an emerging expectation that, with the clear mainline of anti-involution policies, the second half of the year may open a "transition window" into a deflation quadrant [1] - The rapid strengthening of this expectation is prompting a potential style shift in the capital market [1] Group 1: Market Trends - Over the past three years, bonds, as typical "deflation assets," have experienced a super bull market, leading many institutions and funds to heavily invest in bonds, bank stocks, and downgraded consumer goods, resulting in a highly concentrated position in deflation assets [1] - As the macro investment clock begins to turn, the market is collectively reducing positions in deflation assets and shifting towards non-deflation or even inflation assets [1] Group 2: Risks and Strategies - There is a warning that without strategic adjustments made in advance, investors may face liquidity shocks during the reallocation of funds [1] - The core risk facing the bond market is highlighted as the lack of buying power when the market collectively sells off, which may force investors to pay a negative feedback premium to exit [1] - Recent weakness in government bond futures prices subtly conveys this pressure [1]