Beijing continues to release targeted stimulus, yet markets aren’t convinced they will be successful as the Shenzhen CSI 300 Index continues to test multi-year lows. We believe further stimulus will be rolled out into 2024 to support the economy, with many economists now calling on Beijing to raise the Deficit Ratio to allow more flexibility as they fight their post-COVID economic doldrums. Xi Jinping et al. have embarked on a stimulus journey, and we don’t believe, as history shows us, they will stop until successful.
- We are looking for the next 15% for Chinese equities to be on the upside, which should be supportive of our Resources Sector.
MM is bullish toward the Shenzhen CSI Index
Add To Hit List
