Macro and Market Review
China: Downbeat Sentiment Dampens Stimulus Efficacy
China’s economy is cruising at a very low altitude where gravity forces are intense. Downbeat consumer and business sentiment will reduce the effectiveness of stimulus. Anything short of “irrigation-style” stimulus will be insufficient to boost growth. We remain cautious on Chinese stocks. Onshore bond yields will drop to an all-time low. The RMB is still vulnerable against the USD in the next few months.
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BCA Research | China Investment Strategy
Evaluates both the cyclical trends and structural developments of China's economy, offering investment recommendations for China and the Greater China Region.
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