BCA Research’s China Investment Strategy service believes that the combination of a lack of new stimulus in China and the hawkish stance of the Fed remains a threat for global reflation trades and China plays. Currently…
There has been a paradigm shift in Beijing’s approach to policy stimulus. The main purpose of government policy is now managing downside risks to the economy in both the short and long term. The priority for the central government is…
Chinese trade data remained weak in the first two months of the year. Exports in USD terms contracted by 6.8% y/y while imports dropped by 10.2% y/y. Declining exports reflect poor global demand for Chinese products as goods…
China’s legislative session, which formally opened on March 5, should be seen as a tentative disappointment for global risk assets and cyclical markets and sectors. While China is reopening from strict Covid-19 restrictions…
Since December of last year, USD/HKD has been trading on the weaker side of its convertibility band, around 7.85. In fact, up until November of 2022, HKD weakness prompted the monetary authorities to heavily intervene in foreign…
The sharp rebound in China’s NBS and Caixin PMIs indicate that manufacturing activity accelerated in February – not too surprising given that it comes on the back of the post-lockdown economic reopening. What is…
China’s housing market adjustment will be protracted, causing several years of sub-par growth in the world’s second largest economy. We go through the major investment implications.
Great Power Rivalry is taking another leg up as Russia and China further align their geopolitical interests. Investors should stay long USD-CNY, favor defensives over cyclicals, and markets like North America and DM Europe that have…