Today, the wind was quite strong when I went out, and the traffic was a bit annoying, the coffee in my hand cooled down as I held it... Suddenly I thought about how the market sentiment has been similar lately, with a slight tightening of interest rates, risk appetite is like being blown by the wind, everyone’s positions immediately shrink back. To put it simply, I now pay more attention to cash flow and survival time, layering my positions, not moving if I don’t have to, and if I do move, I try to sign offline first before transferring, to avoid impulsive decisions.

The recent criticism of the “yield stacking” of pledge/share security sets has been quite harsh, which doesn’t surprise me. When macro tightening occurs, everyone becomes more sensitive to “appearing very attractive” yields. When risk appetite was high before, layering a few sets was seen as increasing returns; now it’s more like stacking unknown risks together, making it hard to sleep peacefully. Anyway, I’ll first reduce the complexity of things, preferring to earn less than be forced to make decisions during a drawdown.