Arthur Hayes: Global economic imbalance may benefit Bitcoin and gold, the Federal Reserve might soon cut interest rates and restart quantitative easing

Arthur Hayes stated that the global economic imbalance will be alleviated by printing money, which is beneficial for the mid-term performance of Bitcoin and gold.

Arthur Hayes pointed out that the dollar is weakening, foreign investors are selling off US tech stocks and transferring funds back to their home countries. He also suggested that China should cope with tariff pressure by easing domestic credit flows overseas and allowing the RMB exchange rate to fall below 8.00.

He predicted that the Federal Reserve may soon cut interest rates and restart quantitative easing to deal with economic impacts. At the same time, he suggested that the Bank of Japan expand QE through a weak yen policy, pushing USD/JPY exchange rate above 160, while emphasizing on maintaining patience, flexibility and liquidity's importance.