Barclays think the 31 Jul "Politburo..........>

CHINA: Barclays think the 31 Jul "Politburo meeting made it clear that China is

still committed to carrying on deleveraging, as the meeting statement stressed

that the gov't remains focused on preventing & defusing major risks. We view

such statement as an affirmative reply to the increasing uncertainty over the

past few weeks, amid a series of policy easing announcements, regarding whether

the Chinese gov't has paused or halted the deleveraging campaign, especially

given the State Council meeting last week did not mention "deleveraging" in its

statement. That said, with the Politburo meeting also calling for a more

measured pace in deleveraging (including better-coordinated timing of new

regulation issuance) & emphasising the need to maintain stability in 6 areas

(employment, finance, trade, FDI, (domestic) investment & expectation), we think

the overall tone remains broadly consistent with the State Council & earlier

fine-tuning, the gov't is ready to step up with more concerted policy easing

(while not reversing the deleveraging course), particularly in face of

escalating trade war, to mitigate the negative impact of its de-risking campaign

to ensure that the econ performs within a reasonable range."