Global Market Performance - Major global stock indices mostly declined due to multiple factors including the cooling of Fed rate cut expectations and the U.S. government shutdown, with Japan and South Korea leading the drop at 4.07% and 3.74% respectively[1] - The Nasdaq fell 3.04%, marking its worst weekly performance since April, driven by concerns over AI tech stock bubbles and liquidity pressures from the government shutdown[1] - Global bond yields mostly rose, with U.S. Treasury yields experiencing fluctuations amid liquidity tightening and policy expectation dynamics[1] Domestic Market Insights - The A-share market saw a slight increase despite reduced trading volume, with daily transactions falling below 2 trillion yuan, while the Hang Seng Index led major indices with a gain[2] - China's CPI rose year-on-year in October, alleviating deflation concerns, while PPI's decline narrowed, indicating a potential stabilization in prices[2] - The People's Bank of China maintained liquidity easing, contributing to a stable bond market environment[2] Economic Developments - The U.S. government shutdown is entering its sixth week, with potential progress as Democrats soften their stance on funding resolutions[3] - China's exports showed a decline of 0.8% year-on-year in October, influenced by tariff disruptions and high base effects from the previous year[3] - China successfully issued $4 billion in sovereign bonds in Hong Kong, with a subscription rate of 30 times, indicating strong international investor interest[3] Inflation and Price Trends - October's CPI increased by 0.2% year-on-year, driven by holiday consumption and rising food prices, while core CPI rose to 1.2%[3] - The forecast for 2026 suggests a CPI central tendency of 0.6%, with expectations of price recovery driven by stable food prices and improved consumer demand[3] Risk Factors - Potential unexpected changes in macroeconomic conditions and industrial policies pose risks to market stability[5]

来源：华尔街情报圈 贝森特也说了一句耐人寻味的话： =我们不会因为股市下跌就谈判，我们会因为这对美国经济有利才谈判。 金融市场已经开始渲染气氛： 第一，标普500连续三天在同一个区间震荡，资金在做两件事：观望，以及等待别人犯错。没人敢提前 加仓，因为每次"好消息"都可能藏着反转。 美股收盘后，特朗普的言论再度弹出在交易员们的屏幕前。 特朗普表示，他认为美国已经陷入一场贸易战之中。尽管美国财长贝森特提议，可以考虑延长"休战 期"。 当被记者问及，如果世界两大经济体无法达成贸易协议，是否意味着将陷入一场持久的贸易战时，特朗 普回答说："嗯，你们现在已经身在其中了。" 他补充道："我们征收了100%的关税。如果我们没有关税，我们就会暴露得一无是处。" 这句话令世界大感意外，市场原本幻想的"谈判空间"在收缩。 正如我们今天在《黄金策略》中所言，特朗普的表态本质上是在"确认风险"——他等于告诉市场，这不 是谈判策略，而是结构性对抗。 第二，黄金冲破4200美元，再创历史新高——唯有黄金的信号是明确的。这不是单纯的投机，而是"全 球防御"，市场正进入一种"无信任交易期"。值得一提的是，昨天我们在《黄金策略》中提出了"开盘 ...

Core Insights - The article highlights a significant shift in investment trends, with emerging markets experiencing a resurgence while U.S. stocks, particularly in the tech sector, face increased scrutiny [1][5][8]. Group 1: Market Performance - The MSCI Emerging Markets Index has risen by 28% this year, marking the largest increase since 2009 [1]. - Investors have allocated $175 billion to "non-U.S." stock funds in the past month, which is 1.7 times more than those invested in U.S. stock funds [1][8]. Group 2: Reasons for Shift - The weakening of the U.S. dollar, which has depreciated by approximately 10% against a basket of major currencies from January to October, is encouraging investments outside the U.S. [6]. - Valuation differences are notable, with the S&P 500 trading at a price-to-earnings ratio of 23, compared to just 14 for emerging markets, suggesting that U.S. stocks are overvalued relative to their growth potential [6]. - The rise of artificial intelligence (AI) is benefiting emerging markets, as they serve as production bases for essential components like chips and rare earth materials needed for AI technologies [7]. Group 3: Changing Investment Landscape - The traditional view of "buying U.S. is buying the world" is evolving, with more funds recognizing that the U.S. is just a part of the global investment landscape [8]. - European stock funds have attracted $71 billion this year, quadrupling last year's figures, while Asian market bond issuances have reached a record $286 billion [8]. - Despite the positive trends in emerging markets, challenges such as Argentina's debt crisis and political instability in Thailand remain [8]. Group 4: Broader Trends - The current capital reallocation reflects a move away from a unipolar world, with the U.S. no longer being the sole anchor for global investments [9]. - The article suggests that the investment community is learning to diversify portfolios rather than concentrating on a single market, which is a crucial lesson for long-term investment strategies [9].

Group 1 - During the "14th Five-Year Plan" period, China's rural infrastructure is steadily improving, with rural road mileage reaching 4.64 million kilometers by the end of 2024, achieving a road classification ratio of 97.3% and a good and medium road rate of 94.8% [1][1] - The comprehensive production capacity of China's fisheries has significantly increased, with the market transaction volume of aquatic products reaching 9.7691 million tons and a transaction value of 278.126 billion yuan in 2024, representing growth of 2.45% and 9.13% compared to 2021 [1][1] - The logistics data from the Ministry of Transport indicates that from September 29 to October 5, civil aviation operated 133,000 flights, with a 10.93% increase in cargo flights compared to the previous period [1][1] Group 2 - The French Prime Minister's resignation has caused volatility in the French stock and bond markets, with the 10-year government bond yield rising over 9 basis points to exceed 3.6%, nearing levels seen during the 2011 European debt crisis [1][1] - The global manufacturing PMI for September 2025 is reported at 49.7%, a slight decrease of 0.2 percentage points from the previous month, remaining within the 49%-50% range for seven consecutive months [1][1] - The number of funds announcing or implementing dividends this year has reached 5,989, with a total dividend amount increasing from 143.084 billion yuan to 183.974 billion yuan, marking a growth of 28.58% compared to the same period last year [1][1]

Report Summary 1. Report Industry Investment Rating No industry investment rating is provided in the report. 2. Core Viewpoints - The economic data for August 2025 shows that the industrial production has slowed down, the year - to - date cumulative year - on - year growth rate of fixed - asset investment has continued to decline, and the month - on - month growth rate of social consumption is weaker than the seasonal average. The "anti - involution" policy's impact on the real economy is emerging, and the economy still faces difficulties and challenges in maintaining continuous recovery [2][10]. - Regarding the bond market, it is advisable to be optimistic. The 10Y Treasury bond yield is estimated to fluctuate around 1.7%. Convertible bonds are relatively high - quality assets in the long - term, but currently, the valuation is high, and more attention should be paid to the structure [3][24]. 3. Summary by Relevant Catalogs 3.1 Event On September 15, 2025, the National Bureau of Statistics released the economic data for August 2025: the year - on - year growth rate of industrial added value above designated size in August was 5.2%, the cumulative year - on - year growth rate of fixed - asset investment from January to August was 0.5%, and the year - on - year growth rate of total retail sales of consumer goods in August was 3.4% [1][6][9]. 3.2 Economic Data Analysis - **Industrial Production**: In August, the year - on - year growth rate of industrial added value above designated size was 5.2%, a decrease of 0.5 percentage points from July, and the growth rate has declined for two consecutive months. The main reasons for the decline in the year - on - year growth rate of industrial added value were the slowdown in manufacturing and the production of electricity, heat, gas, and water supply industries. The "anti - involution" policy's impact on the real economy began to appear [2][6][10]. - **Fixed - Asset Investment**: From January to August 2025, the cumulative year - on - year growth rate of fixed - asset investment was 0.5%. The month - on - month growth rate in August was - 0.2%, continuing to decline. The cumulative year - on - year growth rates of real estate, manufacturing, and general infrastructure investment all decreased. In August, the year - on - year growth rate of fixed - asset investment decreased by 9.3% [12][13]. - **Social Consumption**: In August 2025, the year - on - year growth rate of total retail sales of consumer goods was 3.4%. The month - on - month growth rate was 0.17%, turning positive but weaker than the seasonal average. Among consumer goods, the year - on - year growth rate of necessary consumption declined, while some optional consumption items maintained good performance, and the year - on - year growth rate of catering consumption increased but was mediocre [16][19]. 3.3 Bond Market Views - **Interest - Rate Bonds**: Since August 2025, the yield of Treasury bonds has shown a significant divergence. The short - end yield has fluctuated little, while the long - end yield has increased significantly. Given the relatively abundant liquidity, the need for fundamental improvement, and the increasing cost - effectiveness of bonds compared to stocks, an optimistic attitude towards the bond market is recommended, with the 10Y Treasury bond yield expected to fluctuate around 1.7% [3][24]. - **Convertible Bonds**: As of September 12, 2025, the performance of the convertible bond market was slightly lower than that of the equity market. Currently, convertible bonds are in a stage of high - level valuation compression. In the long run, they are still relatively high - quality assets, but attention should be paid to the structure due to the high current valuation [25].

Market Overview - In August, the Shanghai Composite Index rose by 10.9%, leading global markets, while the ChiNext Index surged by 24.4%[4] - The S&P 500 increased by only 3.6%, and developed markets saw a rise of 3.5% during the same period[4] Employment Data and Economic Outlook - The U.S. added only 73,000 non-farm jobs in July, significantly below the expected 104,000, marking the lowest increase in nine months[4] - The downward revision of previous months' data indicated a persistent risk of economic recession in the U.S.[4] Global Fund Flows - In August, global funds saw a significant inflow into money market funds, totaling approximately $200 billion, compared to $63 billion in July[4] - Developed market equities attracted $20 billion, while emerging markets saw a smaller inflow of $2 billion, down from $5 billion in July[4] China Market Dynamics - In August, China's equity market attracted a total inflow of $31.42 billion, with a notable increase in passive equity fund inflows to $36.84 billion, up from $3.13 billion in July[4] - China's fixed income market also saw substantial inflows, with $32.90 billion in August, representing 31.42% of the total emerging market inflows[4] Sector-Specific Trends - In the U.S. equity market, there was a significant outflow from the technology sector, while financials, materials, and consumer staples saw inflows[4] - Corporate bonds in the U.S. experienced a substantial inflow of $136 billion in August, a sharp increase from $15 billion in July[4]

Report Industry Investment Ratings - Not provided in the given content Core Views - In September 2025, the direction of monetary policy in the second half of the year is crucial for the equity market. A - shares may enter a high - level shock pattern after a large increase, and the current volatility has risen [2]. - The short - term trend of various futures products varies. For example, gold is expected to rise above $3600 but shows an overbought phenomenon, while some products like steel are in a weak decline [2]. Summaries by Related Catalogs Financial Futures - **Stock Index Futures**: The basis rates of IF, IH, IC, and IM's main contracts are - 0.67%, - 0.41%, - 1.16%, and - 0.89% respectively. It is recommended to wait and see for the next direction [2]. - **Treasury Bond Futures**: The 10 - year treasury bond interest rate may fluctuate between 1.7% - 1.8%. Use range - bound operations for the unilateral strategy and pay attention to the basis convergence strategy of the TL contract [2]. - **Precious Metal Futures**: Gold is expected to rise above $3600, but be cautious about chasing long positions. Silver long positions can be held or use unilateral call options to go long [2]. - **Shipping Index Futures**: The EC main contract rebounds and fluctuates. Consider the 12 - 10 spread arbitrage [2]. Black Futures - **Steel Futures**: The apparent demand for rebar declines, and the steel price maintains a weak downward trend. It is recommended to go long on the ratio of steel to ore [2]. - **Iron Ore Futures**: The shipment rises to a high level, and the price fluctuates with steel. The range is 750 - 810. Go long on iron ore and short on coke [2]. - **Coking Coal Futures**: The spot price fluctuates weakly. Unilateral short positions can be held, and go long on iron ore and short on coking coal for arbitrage [2]. - **Coke Futures**: The seventh round of price increase by mainstream coking plants is implemented, and the eighth round is blocked. Unilateral short positions can be held, and go long on iron ore and short on coke for arbitrage [2]. Non - ferrous Futures - **Copper Futures**: The center of the copper price rises. The main contract reference range is 79000 - 81000 [2]. - **Aluminum Futures**: The aluminum price shows different trends. Pay attention to the demand in the peak season and the pressure level of 21000 [2]. - **Zinc Futures**: The refined zinc output is higher than expected, and the domestic inventory accumulates. The main contract reference range is 21500 - 23000 [2]. - **Nickel Futures**: The dollar strengthens, and the nickel price fluctuates and falls. The main contract reference range is 118000 - 126000 [2]. - **Stainless Steel Futures**: The price weakens slightly, with a game between cost support and weak demand. The main contract reference range is 12600 - 13400 [2]. Energy and Chemical Futures - **Crude Oil Futures**: The expected marginal supply increase pressures the oil price. Adopt a unilateral short - bias approach [2]. - **Urea Futures**: High supply pressure and lower Indian bids make the short - term market likely to be weak. It is recommended to wait and see [2]. - **PX Futures**: The supply - demand is in a tight balance in September, with limited short - term drivers. Wait and see and pay attention to the support at 6600 and the oil price [2]. - **PTA Futures**: There is little supply - demand contradiction in September, with limited drivers. Wait and see, pay attention to the support at 4600 and the oil price, and mainly do a rolling reverse spread for TA1 - 5 [2]. - **Other Chemical Futures**: Each chemical product has its own supply - demand situation and corresponding trading strategies, such as short - term shock, range - bound operations, etc. [2] Agricultural Futures - **Livestock Futures**: The supply - demand contradiction of live pigs is limited. Pay attention to the subsequent slaughter rhythm. The 11 - contract pays attention to the support at 13500 [2]. - **Grain Futures**: Corn spot is stable, and the futures price fluctuates and adjusts. Short on rallies [2]. - **Oil Futures**: Palm oil maintains a strong shock consolidation and may冲击 $9500 in the short term [2]. - **Other Agricultural Futures**: Each agricultural product has different supply - demand and price trends, with corresponding trading suggestions such as short - position closing, waiting and seeing, etc. [2] Special Commodity Futures - **Glass Futures**: The futures and spot inventories are at a high level, and the industry has a negative feedback. Hold short positions [2]. - **Rubber Futures**: The fundamentals are strong, and the rubber price fluctuates at a high level. Short on rallies if the raw material supply is smooth [2]. - **Industrial Silicon Futures**: The spot price rises slightly, and the futures price fluctuates. The main price range is 8000 - 9500 yuan/ton [2]. New Energy Futures - **Polysilicon Futures**: The spot price rises, and the polysilicon price fluctuates at a high level. Wait and see [2]. - **Lithium Carbonate Futures**: The situation has not improved, and the price is weak. Wait and see [2]. Tin Futures - The supply remains tight, and the tin price fluctuates at a high level. Wait and see [3]

Core Viewpoint - The article discusses the uncertainty surrounding the Federal Reserve's potential interest rate cuts, emphasizing concerns about persistent inflation despite market expectations for a rate decrease in September [2][6][11]. Summary by Sections Federal Reserve's Interest Rate Outlook - Market speculation suggests a 90% probability of a rate cut in September, but Chicago Fed President Austan Goolsbee expresses concerns about inflation not being fully under control [2][5]. - Current U.S. benchmark interest rates are between 4.25% and 4.5%, with ongoing debates about the Fed's monetary policy direction [5][6]. Inflation Concerns - Goolsbee highlights that inflation has remained above target for over four years, with recent signs of rising service sector prices indicating that inflationary pressures may still exist [6][10]. - He warns against the "temporary inflation" narrative that misled experts in 2021, stressing the importance of addressing underlying inflation risks [6][10]. Employment Market Stability - Goolsbee presents the "four horsemen" indicators (unemployment rate, hiring rate, layoff rate, and job vacancy rate) to illustrate that the U.S. job market remains stable [6][9]. - The latest unemployment rate stands at 4.2%, indicating a low level of unemployment post-COVID [9]. Market Reactions and Financial Conditions - The article notes that despite claims of tight monetary policy, financial conditions appear loose, with stock markets reaching new highs [9][10]. - Goolsbee cautions that premature rate cuts could lead to a repeat of past mistakes, particularly regarding the impact of tariffs on long-term price levels [10][11]. Long-term Interest Rate Expectations - The article discusses the shift in perceptions of the "neutral interest rate," suggesting that higher long-term rates may persist due to rising fiscal deficits and global debt levels [10][11]. - Investors are advised to be cautious with long-duration bonds and to reassess stock valuations, especially for high-growth, interest-sensitive stocks [10][11]. Investment Strategies - The article suggests that investors should seek structural opportunities amid macroeconomic uncertainties, rather than following market trends blindly [11][12]. - A stable job market could support consumer spending, indicating potential resilience in certain sectors [11][12].

Report Industry Investment Rating No relevant content provided. Core Viewpoints - Recently, the capital market has continued to advance, with risk appetite being optimistic and exuberant. The interest rate cut trading has generally dominated the market, and most risk assets have closed higher. The VIX volatility index has dropped significantly and is operating at a historical low [7]. - Overseas, the resilience of inflation and the turmoil among Fed officials, along with Powell's remarks, have continuously disturbed the interest rate cut expectations. A September interest rate cut is almost certain, and the market has started to focus on the amplitude and speed of subsequent interest rate cuts [7]. - Globally, most major stock markets have closed higher. The US stocks have reached new all - time highs, and the A - shares have strongly risen, breaking through 3800 and reaching a 10 - year high. The BDI index has significantly declined, and the US Treasury yields and the US dollar index have both dropped. Non - US currencies have generally benefited, and the commodity trends have been divergent [7]. - In China, the "anti - involution" market has cooled down. The weakness of the real - end fundamental data has dampened the optimistic sentiment and the strong expectations of investors. However, the supply - side disturbances in key industries and varieties, and the implementation of relevant "anti - involution" industry policies have still caused ripples in the futures market [7]. Summary by Directory 1. Big - Asset Category - Overseas: Most major global stock markets have closed higher, the US stocks have reached new all - time highs, and the A - shares have strongly risen, breaking through 3800 and reaching a 10 - year high. The BDI index has significantly declined, the US Treasury yields and the US dollar index have both dropped, non - US currencies have generally benefited, and commodity trends have been divergent. Oil prices have rebounded, supporting the energy sector and driving relatively strong performance of internationally - priced commodities. The CRB index has closed higher on a weekly basis, and gold and copper have both risen [7][11]. - Domestic: The "anti - involution" market has cooled down. The domestic bond market has declined across the board, with near - term bonds being stronger than long - term bonds. The stock index has generally risen, and the commodity big - asset categories have shown mixed performance, with most closing lower. The stock market has a general upward trend, and both growth - style and value - style stock indices have performed strongly, with no obvious style differences. The market has stood above 3800, the market risk appetite has increased, and the trading sentiment has been active. The Wind commodity index has a weekly change of - 0.79%, with 2 out of 10 commodity big - asset category indices closing higher and 8 closing lower [7][11][16]. 2. Sector Express - The domestic bond market has declined across the board, with near - term bonds being stronger than long - term bonds. The stock index has generally risen, and the commodity big - asset categories have shown mixed performance, with most closing lower. The stock market has a general upward trend, and both growth - style and value - style stock indices have performed strongly, with no obvious style differences. The market has stood above 3800, the market risk appetite has increased, and the trading sentiment has been active. The domestic commodity big - asset categories have shown mixed performance, with the Wind commodity index having a weekly change of - 0.79%. Among the 10 commodity big - asset category indices, 2 have closed higher and 8 have closed lower, showing an internal - weak and external - strong style characteristic. The agricultural and sideline products sector has dropped significantly by - 4.28%, leading the decline. The coking coal, steel, and ore, and non - metallic building materials sectors have dropped by more than - 2%, followed closely. The energy and non - ferrous sectors have closed higher against the trend, and the other sectors have all closed lower [16]. 3. Fund Flow - Last week, the funds in the domestic commodity futures market have generally flowed out slightly. The agricultural and sideline products, soft commodities, and grain sectors have seen obvious fund inflows, while the non - metallic building materials, coking coal, steel, and ore, energy, oilseeds, non - ferrous, and precious metals sectors have seen obvious fund outflows [19]. 4. Variety Performance - In the past week, most domestic major commodity futures have closed lower. Among the specific commodity futures variety indices, the top - rising commodity futures varieties are TA, staple fiber, and bottle chips, while the top - falling commodity futures varieties are coking coal, ferrosilicon, and soda ash [24]. 5. Volatility Characteristics - Last week, the volatility of the international CRB commodity index has slightly increased, while the volatilities of the domestic Wind commodity index and the Nanhua commodity index have both slightly decreased. By sector, the volatilities of the commodity futures big - asset categories have shown mixed performance. The precious metals, coking coal, steel, and ore, and chemical sectors have seen slight volatility declines, while the non - ferrous and agricultural and sideline products sectors have seen the most obvious volatility increases [29]. 6. Data Tracking - Internationally, most major commodities have closed higher, with crude oil, soybeans, and corn rising. The BDI has dropped significantly. The trends of gold and silver have diverged, with the silver price rising and the gold price slightly falling, and the gold - silver ratio has declined [32]. - Domestically, the asphalt operating rate has fluctuated, the real - estate sales have been weakly bottom - seeking, the freight rates have continued to decline, and the short - term capital interest rates have risen first and then fallen, with the center of gravity rising [52]. 7. Macro Logic - The stock index has strongly risen and closed higher significantly, with valuations rising collectively and the risk premium ERP under pressure and falling [36]. - The commodity price index has oscillated higher, inflation expectations have rebounded, and the trends of expectations and reality have oscillated [45]. - The US Treasury yields have dropped significantly, with short - term bonds being weaker than long - term bonds. The term structure has a bullish steepening, the term spread has increased, the real interest rate has been under pressure, and the gold price has oscillated at a high level [61]. - The US high - frequency "recession indicator" has shown resilience. The impact of tariffs on the economy has become initially obvious, and the 10Y - 3M US Treasury spread has fluctuated around 0 [70]. 8. Fed Interest Rate Cut Expectations - The probability of a Fed interest rate cut in September has first decreased and then increased. There are expectations of further interest rate cuts in October or December, and the probability of a 50 - bp interest rate cut within the year is high. According to the CME's FedWatch tool, the probability of the Fed cutting interest rates by 25 bp to 4 - 4.25% in September is 82.9%, a slight decrease compared to 83.4% a week ago, but the probability has shown a trend of first falling and then rising within the week. The probability of further interest rate cuts in October or December is not high, and the probability of two 25 - bp interest rate cuts (50 bp in total) within the year is the highest, at around 47% [79]. 9. Impact of Powell's Speech - Powell's speech at the Jackson Hole Global Central Bank Annual Conference on August 22 has released obvious interest rate cut signals, triggering extensive market attention. After the speech, the three major US stock indices have collectively risen, the trading volume has increased, the US Treasury yields have significantly declined, the US dollar index has rapidly dropped, and the international gold price has significantly increased [88][90]. - The core content of Powell's speech includes an assessment of the current economic challenges and a revision of the monetary policy framework. In terms of economic challenges, the labor market is in a "fragile balance" with rising employment downward risks, economic growth has slowed down, inflation pressure exists, and policy - making faces challenges. In terms of the monetary policy framework, it has abandoned the focus on the effective lower bound (ELB), the average inflation target system (AIT), and the "employment shortfall" wording, and emphasized inflation expectation anchoring, conflict - goal balancing, and other aspects [92][104]. 10. Capital Flow Preference - Due to the weakening of the US dollar and the strong performance of the A - shares, funds are favoring RMB - denominated equity assets. The A - shares have strongly risen, breaking through 3800 and reaching a 10 - year high. Although the short - term market of the commodity futures has cooled down, the internal capital of the commodities has been flowing, and the hot sectors have been switching, always exploring investment opportunities around the "anti - involution" theme [8]. 11. This Week's Focus - A series of economic data releases and events are worth noting this week, including German and US economic data, central bank meetings and speeches, and corporate product launches [125].

Global Market Overview - In July, global asset prices increased due to the passing of the "Big and Beautiful" bill, which reduced policy uncertainty and enhanced global risk appetite, leading to significant gains in equity markets, particularly in the Asia-Pacific region [1][8] - The "Big and Beautiful" bill, passed on July 3, includes various spending adjustments across defense, border security, energy policy, and social welfare, with plans to reduce taxes by $4 trillion and cut spending by at least $1.5 trillion over the next decade [2][17] - Major stock indices in China, Hong Kong, the US, and Europe recorded positive returns, with the CSI 300 index rising by 3.5%, the Hang Seng index by 2.9%, the S&P 500 by 2.2%, the Nikkei by 1.4%, and the Stoxx Europe 600 by 0.9% [2][17] Asset Flow Analysis - In July, there was a significant slowdown in inflows to money market funds, with approximately $63 billion flowing in compared to $156 billion in June, while government bonds saw accelerated inflows [3][26] - Developed market equities attracted $43 billion in July, up from $39 billion in June, while emerging market equities saw a decrease in inflows, dropping to $5 billion from $8 billion [3][26] - In the US equity market, there was a notable outflow from technology and healthcare sectors, while financials, industrials, and utilities saw inflows [33][37] China Market Insights - In July, China emerged as a major recipient of inflows in the emerging market fixed income sector, with $83.78 billion flowing into Chinese fixed income funds, accounting for 54.81% of total inflows [4][44] - However, the Chinese equity market experienced a cumulative outflow of $15.70 billion in July, contrasting with the inflow of $3.13 billion in passive equity funds, indicating a shift in investor sentiment [4][28] - The passive equity funds in emerging markets saw a reversal, with inflows of $113.26 billion in July compared to outflows of $139.79 billion in June [4][43] Global Fund Allocation Trends - As of June, the allocation of global funds to the US increased to 61.0%, while the allocation to China remained stable at 25.1%, indicating potential for further growth [5][28] - The allocation of emerging market funds to China decreased slightly to 42.7%, nearing historical averages, while Taiwan and South Korea saw increased allocations [5][28] - The overall trend indicates a reallocation of global funds towards US equities, with a corresponding decrease in allocations to European and Japanese markets [5][42]