Posted 12/15/2023, 8:10:56 AM
China Steps Up Stimulus with $112 Billion Cash Injection and Property Rule Easing, Though Markets Want Bolder Action
- China pumped a record $112 billion into the economy and eased property sector rules, sending a more powerful stimulus message to investors
- Policy combo offered some relief to investors, but more stimulus is likely needed to boost confidence
- Investors want more aggressive tools like interest rate cuts rather than piecemeal approaches
- Authorities aim to balance stimulus and currency stability, explaining hesitance to cut rates
- Fiscal stimulus expected to play bigger role next year based on recent political messaging