China PUMPING money into its Economy
China's concerted effort to inject fiscal liquidity into its economy amounts to one of the largest stimulus efforts done to a major economy in modern history.
Already, China has pledged deficit spending relative to GDP for 2024 on par with what it did in 2020. Additionally, the PBOC is directly injecting liquidity, via MLF operations, directly into the banking sector.
As seen in the United States in 2020 and 2021, on balance, massive fiscal liquidity injections eventually tend to be supportive for domestic asset prices.
China is dealing with a plethora of unique problems, but the Politburo and the PBOC’s capacity to manage these issues provides a potential opportunity to risk tolerant investors in 2024.
Will we see a revival in China stocks? Will China recovery story happen in 2024? Especially ALIABAB
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- Investing/ Finance /Economics
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BrianjhOP : @doctorpot1
doctorpot1 BrianjhOP: still waiting for the recovery story hehehehehehe
hope this will help
beedeebee : don't forget, China has tons of gold reserves:)
leslietiger : Yay, coming back fierce and furious.
Cui Nyonya Kueh :
ZnWC : Thanks for sharing. Your information is very valuable to my research.
SpyderCall : Good pointing this out. I feel like any easing or money that is injected into an economy, directly or indirectly, will always be a positive for asset prices. Especially equities. At least it seems like that in the US.
Ben Chor : Cool