Capital Daily Policy sugar rush may only take Chinese equities so far New measures to support China’s property sector have brought more cheer to Chinese equities. But, while we continue to think they will fare well in the coming months, we ultimately expect them to lose... 17th May 2024 · 5 mins read
China Economics Weekly Property support, imbalances growing, tariff retaliation The property support measures outlined today are significant. If local governments and SOEs take advantage of the funding on offer to buy unsold inventory from developers, sales would rise by around... 17th May 2024 · 5 mins read
Asset Allocation Update Rebound in Chinese equities may be sweet, but short Improving sentiment towards Chinese equities has sparked a further rebound over the past month, with stocks there having generally outperformed those elsewhere over this period. While we continue to... 17th May 2024 · 5 mins read
China Rapid Response China Activity & Spending (Apr. 2024) Industrial production continued to accelerate thanks to strong exports, but growth on most other indicators slowed, pointing to softer domestic demand. We expect a renewed pick-up over the coming... 17th May 2024 · 2 mins read
China Economics Update Destocking could offer a short-run fix to property woes Government purchases of unsold housing may help to stabilise China’s property sector in the near-term, alleviating a key economic headwind. But they won’t prevent the sector from shrinking... 16th May 2024 · 6 mins read
China Economics Focus China’s overseas lending push has stalled Overseas loans by Chinese banks peaked in late 2021 and have since been curtailed in response to increased debt problems among EM borrowers. While these strains are partly a consequence of global... 16th May 2024 · 15 mins read
Global Economics Update What the latest US tariffs mean for the global economy We held an online Drop-In session today to discuss the Biden administration’s new tariffs on goods from China. This Update answers several of the questions that we received about the direct effects of... 15th May 2024 · 7 mins read
China Economics Update US tariffs tighten the ratchet again The tariffs announced today on US imports from China won’t cause much direct economic damage since trade in the affected goods is already low. But US economic sanctions on China seem to act like a... 14th May 2024 · 5 mins read
Climate Economics Update Battery imports to bear the brunt of new US tariffs The impact of the US tariffs announced today will barely register on the paltry flows of solar panels and electric vehicles that China directly exports to the US. However, the new tariffs could have a... 14th May 2024 · 2 mins read
Event Drop-In: US and Europe to raise China tariffs – A new phase in global fracturing? 1715760000 After weeks of rising tensions around the question of Chinese industrial overcapacity, the Biden administration has announced a new raft of tariffs on goods from China.
China Rapid Response China Consumer & Producer Prices (Apr. 2024) PPI deflation eased and CPI inflation rose in March, but they remained relatively subdued compared with pre-pandemic norms. We think inflation will continue to edge up in the near term. But persistent... 13th May 2024 · 2 mins read
China Rapid Response Bank Lending & Broad Credit (Apr.) Broad credit growth slowed sharply to its weakest pace on record last month. This threatens to derail the ongoing economic recovery and is likely to trigger additional policy easing. Increased fiscal... 13th May 2024 · 3 mins read
China Economics Weekly Targeted regulations won’t fix structural overcapacity With the EU and US both apparently moving closer to imposing new trade restrictions on EVs and possibly on other "new energy" products from China, China's state media this week made a concerted effort... 10th May 2024 · 7 mins read
China Rapid Response China Merchandise Trade (Apr. 2024) Export values returned to growth last month after contracting in March, but this was mainly due to a lower base for comparison. Export volumes were little changed in April following a pullback in the... 9th May 2024 · 2 mins read
China Economics Update China’s export success also due to weakness at home China’s leadership argues that the country’s export success in industries like auto production is a reflection of its technological strength. It understandably doesn’t want to focus on another factor... 8th May 2024 · 5 mins read