After the recent Lunar New Year, the discussion surrounding investments in A-shares, or Chinese assets, has surged in popularity within international financial marketsThe consensus among overseas investors appears to be that a bullish market for A-shares is on the horizon.

Since 2025, both Chinese cinema and technology have continually reshaped foreign perspectivesOne might wonder if this change is linked to the halting of support from the U.SAgency for International DevelopmentSurprisingly, mainstream American media and social media platforms have begun to report more favorably on China, leaving the Chinese populace somewhat astonished and even bewildered by this shift.

Currently, the question arises: which major international investment banks are ramping up their investments in China, and what impact will this have on Chinese renminbi assets? Furthermore, once these banks have amassed their positions, will they turn and short-sell these assets?

As market capitalizations soar towards new heights, Warren Buffett’s decision to exit his position in BYD has drawn considerable attentionRecent data from Wall Street revealed that American hedge fund mogul and billionaire investor David Tepper, through his firm Appaloosa LP, has significantly increased investments in Chinese assets, including purchasing Chinese concept stocks and Chinese stock ETFs.

Last September, Tepper publicly urged his Wall Street colleagues to buy into all things related to ChinaThis strategy has proven advantageous, as China's capital markets have seen a robust uptick, yielding substantial profits for this bullish American investor.

Following his lead, the number of American hedge funds increasing their stakes in China has risenTepper is simply the most prominent figure among themIn conjunction with this trend, Goldman Sachs has corroborated the rumors circulating in financial circles regarding the surge in global hedge funds acquiring Chinese stocks.

Notably, the recent success of DeepSeek, which outperformed American AI company OpenAI, has sparked a belief among American investors that China is poised to lead the charge in the next technological revolution

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The release of DeepSeek's open-source model has prompted major American tech firms to fully integrate Chinese AI models, and Chinese tech companies are not being left behind in this race.

For instance, on February 10th, leading Chinese automotive company BYD announced its full integration with DeepSeek, launching the “Tian Shen Zhi Yan” (God's Eye) program to usher in an era of intelligent driving for allThis initiative signifies a dramatic shift in the automotive market, traditionally characterized by high-end luxury models being the exclusive beneficiaries of intelligent driving technology.

The capital market has responded positively to this development, as BYD's stock market capitalization reached over one trillion yuan in light of this newsThis leaves it just shy of its all-time high of 354.52 yuan from June 2022, which means Buffett has effectively sold his shares at a loss.

In recent years, BYD's growth has surpassed that of TeslaHowever, due to Musk positioning Tesla as a technology company, Tesla has enjoyed a significant valuation bubble in the U.S. marketThis bubble has been further inflated since OpenAI’s emergence, thanks in large part to Musk embedding AI accolades into Tesla’s brand identity, which has largely contributed to its standing as the world’s most valued automaker.

However, with BYD now fully leveraging the DeepSeek AI model, it stands to benefit from valuation premiums linked to AI advancements, potentially elevating its market capitalization to new heights.

Beyond BYD, other renminbi assets in the Chinese market have also performed exceptionally wellThe transformative power of technological advancements typically ignites bull markets in financial sectorsWhen revolutions occur in specific regions, the commensurate impact can be reflected in capital markets through significant appreciation in both stock prices and exchange rates, often yielding companies with returns in the tens to hundreds of times their original valuation.

Currently, amidst an escalating risk landscape, Wall Street oracle Peter Schiff issued a warning to the American capital market on February 11th, citing increasing probabilities of U.S. debt default and government shutdown

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