
Chinese money update: net improvement
August 17, 2022 | NS Partners
The assessment here a month ago was that Chinese monetary policy easing was gaining traction but that additional stimulus and a further recovery in narrow money momentum were required to adopt a positive view of economic prospects. These conditions have been partially fulfilled: the PBoC has delivered additional easing and six-month narrow money growth picked up in July; however, a food-driven rise in CPI momentum held back real money expansion. The news, on balance, warrants an upgrade to the assessment: economic momentum […]