13 Jul 2015
China heading for a spring break from the downside? - BNP
FXStreet (Guatemala) - Christine Peltier, Analyst at BNP Paribas explained that the latest data for industrial production, retail sales and real estate transactions suggest a slight upturn in activity during the spring.
Key Quotes:
"However, domestic investment remains depressed and export performance is still weak. On top of this, equity prices have collapsed over the past month."
"Although the stock market is only a small source of ‘social financing’ in China, the authorities are concerned about the social consequences of the crash and have stepped up measures to ease monetary policy and provide direct support to the market."
"Thus equity market stabilisation is now another policy goal for the authorities, which already have to continue to stimulate domestic demand and pursue structural reforms."
Key Quotes:
"However, domestic investment remains depressed and export performance is still weak. On top of this, equity prices have collapsed over the past month."
"Although the stock market is only a small source of ‘social financing’ in China, the authorities are concerned about the social consequences of the crash and have stepped up measures to ease monetary policy and provide direct support to the market."
"Thus equity market stabilisation is now another policy goal for the authorities, which already have to continue to stimulate domestic demand and pursue structural reforms."