Free Trial

Nomura: Covid Presser Dashes Market's Hope Of A Fast Reopening


Nomura write “dashing last week’s enthusiasm for a fast reopening, markets will likely perceive the highly-anticipated Covid-19 press conference hosted by the State Council on the past Saturday as quite disappointing. The presser only provided a regular update of Covid situation, reiterated the guideline of firmly sticking to the zero-Covid strategy (ZCS), and announced there is no new protocol to replace the current 9th edition.”

  • “We warned last week that markets should lower their expectations of a fast reopening. We continue to believe that, while Beijing may introduce some fine-tuning of Covid measures in coming weeks, those fine-tuning measures could be more than offset by local officials’ escalation of ZCS. We maintain our view that Beijing will stick with the essential parts of ZCS until at least March 2023. Switching the narratives will be a key challenge along the road to China’s reopening.”
MNI London Bureau | +44 0203-865-3809 |
MNI London Bureau | +44 0203-865-3809 |

To read the full story



MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.