According to the CITIC Securities Research Report, consumer demand in the US showed resilience during this year's holiday season, but it was accompanied by a K-type differentiation where “the poor are becoming more and more struggling and the rich expand their consumption.” We found that there are factors at both ends of the income and expenditure of the US residential sector that exacerbate the polarization of purchasing power. Low-income earners have faced more pressure to increase prices in recent years, and their wage growth rate has slowed more clearly over the past year than that of high-income earners. Changes in corporate behavior spawned by the wave of artificial intelligence and the rise in asset prices during the risk-managed interest rate cut cycle have directly contributed to considerable wealth growth for wealthy American households. Facing America's overall healthy and structurally fragmented K-economy, Trump may focus on structural policies such as easing regulations and encouraging supply to respond to voters' dissatisfaction with the cost of living and the gap between rich and poor. The Democratic Party has a chance to reverse the market in the midterm elections in the House of Representatives. The Federal Reserve is unlikely to aggressively cut interest rates, and the allocation value of US stocks may be better than US debt.

According to the CITIC Securities Research Report, consumer demand in the US showed resilience during this year's holiday season, but it was accompanied by a K-type differentiation where “the poor are becoming more and more struggling and the rich expand their consumption.” We found that there are factors at both ends of the income and expenditure of the US residential sector that exacerbate the polarization of purchasing power. Low-income earners have faced more pressure to increase prices in recent years, and their wage growth rate has slowed more clearly over the past year than that of high-income earners. Changes in corporate behavior spawned by the wave of artificial intelligence and the rise in asset prices during the risk-managed interest rate cut cycle have directly contributed to considerable wealth growth for wealthy American households. Facing America's overall healthy and structurally fragmented K-economy, Trump may focus on structural policies such as easing regulations and encouraging supply to respond to voters' dissatisfaction with the cost of living and the gap between rich and poor. The Democratic Party has a chance to reverse the market in the midterm elections in the House of Representatives. The Federal Reserve is unlikely to aggressively cut interest rates, and the allocation value of US stocks may be better than US debt.