Wednesday saw Nordea note that "as a result...>

CHINA: Wednesday saw Nordea note that "as a result of multi-year efforts to

transform the Chinese economy, it is now highly driven by private consumption

and services. The flipside of the new normal is that a shock to consumer

confidence will affect economic growth to a much larger extent. Moreover,

policymakers now have less control over the economy compared to when it was

dominated by public investment and planned production. Fears of a second wave of

COVID-19 infections and concerns about prolonged income losses due to high

unemployment and a poor social safety net are causing consumers to tighten their

belts. The slower-than expected recovery in consumption and services will likely

be the main factor delaying the general growth rebound in China. As a result of

the slower-than-expected recovery in private consumption and service sector

activity, we revise down our GDP forecasts for this and next year to 1% and 8%,

respectively. The financial forecasts are unchanged."