China's Hang Seng and CSI 300 Indices have experienced significant drops, and the yuan has tumbled to its weakest level since November, due to the lack of substantial policy support to stimulate the economy.
- Jun 26, 2023, 1:00 PM CDT
While some remain optimistic about the potential for growth in the latter half of the year, current market trends reveal bearish sentiments and a lack of confidence in China's incremental policy easing approach.Losses in Chinese assets are mounting again as Beijing’s modest stimulus disheartens investors.
Gloom is setting in after authorities refrained from adding major policy support even as the economy has lost momentum. Beijing is making it clear that any easing will be targeted and measured, bidding farewell to the days of massive stimulus that drove leveraged buying and inflated asset prices — a distortion that the nation’s leaders are determined not to repeat.
To be sure, China has been rolling out measures to stimulate its economy, including a series of reductions in interest rates and extended tax breaks for consumers buying clean cars. Market reactions have been muted as traders are skeptical whether these steps will reinvigorate an economy weighed down by record debt levels, slowing global demand, and weak confidence among businesses and consumers rattled by years of unpredictable policy shifts.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
China’s foreign minister meets Russian official in Beijing after rebellion\n\t\t\tGet local insights from Lisbon to Moscow with an unrivalled network of journalists across Europe,\n\t\t\texpert analysis, our dedicated ‘Brussels Briefing’ newsletter. Customise your myFT page to track\n\t\t\tthe countries of your choice.\n\t\t
Read more »
Italian flops make Liverpool wary of Barella and fears for Tonali dragged to Toon...The Mailbox worries about one incoming Italian and another on Liverpool's radar. Also: tracing your allegiance to one particular moment; celeb fans; and an apology...
Read more »
Investors still need to adjust to a world of higher interest rates\n\t\t\tLet our global subject matter experts broaden your perspective with timely insights and opinions you\n\t\t\tcan’t find anywhere else.\n\t\t
Read more »
Alpine F1 secures 200m euro from investors including Ryan ReynoldsThe Alpine Formula 1 team has sold 24% of its shares to a US based investor group including Hollywood actor Ryan Reynolds, for 200m euro.
Read more »
Alpine F1 secures 200m euro from investors including Ryan ReynoldsAlpine's F1 team has raised 200m euro from investors, including Hollywood actor Ryan Reynolds. The equity sale values the team at $900 million.
Read more »
Ryan Reynolds and Rob McElhenney among investors to buy 24% of Alpine for £171mRyan Reynolds and Rob McElhenney are part of a group of investors who have bought 24% of Alpine for £171m 💰 F1
Read more »