China: How Far Will the Stimulus-Fueled Bullish Frenzy Go?

Hang Seng News

China: How Far Will the Stimulus-Fueled Bullish Frenzy Go?
MSCI ChinaShanghai Shenzhen CSI 300
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Stocks Analysis by Investing.com (Alessandro Bergonzi) covering: Hang Seng, MSCI China, Shanghai Shenzhen CSI 300. Read Investing.com (Alessandro Bergonzi)'s latest article on Investing.com

Analysts are cautiously optimistic as liquidity floods Chinese markets.Unlock access to InvestingPro’s AI-selected stock winners for under $9 a month!

The goal? Free up banks, rescue the housing market from crisis and flood the economy with liquidity. The message from Beijing is loud and clear: they’ll do whatever it takes to reignite growth. However, Lizzi C. Lee, a researcher at the Asia Society Policy Institute, believes it’s too early to declare victory.

"The coming months will reveal whether the recent policy turnaround can yield a lasting economic turnaround or whether the current surge will prove ephemeral."But China’s economy has evolved since then. Both the Covid pandemic and the real estate crisis have taught Beijing valuable lessons, giving the leadership hope for a more stable future.

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