The recent cancellation of large-denomination bank certificates of deposit marks, to some extent, a turning point. Think about it—what does this reflect? Banks need funds the most, especially stable long-term funds. Now that even this is gone, it can only indicate one thing—the demand for financing is truly gone. No enterprises are borrowing from banks for long-term projects, loan demand has plummeted, and banks naturally become reluctant to compete for those long-term deposits.

Following this logic, it becomes a bit painful. If banks are no longer optimistic about the future prospects and start shortening the duration of funds and reducing long-term commitments, will ordinary people still be willing to spend money on buying houses? Will entrepreneurs still purchase new equipment and upgrade production capacity? The long-term investment expectations of the entire market may have quietly reversed at this moment of policy change.