November 05, 2024 15:27 GMT
CHINA: PBOC to Maintain Accommodation, Increase Countercyclical Adjustments
CHINA
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China are to maintain an accommodative monetary policy stance, and are to increase their countercyclical monetary adjustments, according to Xinhua.
These China headlines come amid the Nov 4 - Nov 8 NPC Standing Committee meeting, at which markets expect more detail on stimulus efforts, both shape and size. A fresh fiscal package worth over CNY 10trl is expected - financed via special treasury and local government bonds, but reports suggest the package could be larger in the event of a Trump victory.
- In terms of timings for a potential announcement - it's unlikely to be before November 8th (the final day of the NPC meeting), and that also allows the NPC to gauge the election results in the US to make any tweaks to the statement.
- Local analysts in the NPC Observer note that a likely time for an announcement could be on CCTV's Xinwen Lianbo program at 7pm local time (1100GMT / 0600ET), with full details of a potential package to follow later that evening.
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