{"id":113448,"date":"2024-10-12T22:17:46","date_gmt":"2024-10-12T15:17:46","guid":{"rendered":"https:\/\/hotvideos24.online\/?p=113448"},"modified":"2024-10-12T22:17:46","modified_gmt":"2024-10-12T15:17:46","slug":"chinas-economic-woes-give-its-markets-a-week-to-forget-and-its-public-little-cause-for-optimism","status":"publish","type":"post","link":"https:\/\/hotvideos24.online\/?p=113448","title":{"rendered":"China&#8217;s economic woes give its markets a week to forget, and its public little cause for optimism"},"content":{"rendered":"<p> <script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3711241968723425\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-format=\"fluid\"\r\n     data-ad-layout-key=\"-fb+5w+4e-db+86\"\r\n     data-ad-client=\"ca-pub-3711241968723425\"\r\n     data-ad-slot=\"7910942971\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<\/p>\n<div>\n<p class=\"\">BEIJING \u2014 A wave of optimism swept <a href=\"https:\/\/www.nbcnews.com\/news\/china\" target=\"_blank\" rel=\"noopener\">Chinese <\/a>markets recently when <a href=\"https:\/\/www.nbcnews.com\/news\/world\/china-stocks-see-best-week-2008-stimulus-impact-asia-markets-rise-rcna172976\" target=\"_blank\" rel=\"noopener\">Beijing announced a stimulus package <\/a>many hoped would pave the way for a wave of investment to help fuel a recovery for the world\u2019s second-largest economy.\u00a0<\/p>\n<p class=\"\">Traders rushed to buy Chinese stocks, sending the top Shanghai and Hong Kong indexes soaring.<\/p>\n<p class=\"\">But the measures that Beijing\u2019s economic planning agency announced this week <a href=\"https:\/\/www.nbcnews.com\/news\/world\/china-state-planner-lays-actions-boost-economy-no-new-plans-major-stim-rcna174439\" target=\"_blank\" rel=\"noopener\">proved to be an anticlimax<\/a> \u2014 the trillions of yuan that observers were hoping would be revealed never materialized. Investors were disappointed to say the least: Hong Kong\u2019s Hang Seng index suffered its worst daily drop in 16 years and Shanghai\u2019s CSI 300 closed down for the first time in 11 days.<\/p>\n<p class=\"\">That slump comes against a gloomy economic backdrop for China, which is <a href=\"https:\/\/www.nbcnews.com\/news\/world\/china-economy-falters-middle-class-confidence-xi-business-rcna145809\" target=\"_blank\" rel=\"noopener\">still struggling to recover<\/a> from the Covid-19 pandemic and is beset with inflation and a sluggish property market. This year, <a href=\"https:\/\/www.nbcnews.com\/news\/world\/chinas-youth-unemployment-hits-fresh-high-economic-slowdown-restrictiv-rcna172183\" target=\"_blank\" rel=\"noopener\">youth unemployment<\/a> reached a record high of<a href=\"https:\/\/www.nbcnews.com\/news\/world\/chinas-youth-unemployment-hits-fresh-high-economic-slowdown-restrictiv-rcna172183\" target=\"_blank\" rel=\"noopener\"> 18.8%<\/a>. Beijing might even miss its annual growth target of 5% \u2014 a figure it often surpassed prior to the pandemic.<\/p>\n<p class=\"\">Beijing said at a news conference Tuesday that it was \u201c<a href=\"https:\/\/www.nbcnews.com\/news\/world\/china-state-planner-lays-actions-boost-economy-no-new-plans-major-stim-rcna174439\" target=\"_blank\" rel=\"noopener\">confident<\/a>\u201d it would meet its economic targets, and <a href=\"https:\/\/www.nbcnews.com\/news\/world\/no-challenges-can-stop-chinas-progress-xi-jinping-says-75th-anniversar-rcna173388\" target=\"_blank\" rel=\"noopener\">that message<\/a> has been repeated by Chinese President Xi Jinping, who has stated his goal of turning around his flagging economy. Late last month, he described China as being \u201cwell prepared\u201d to overcome the \u201cpotential dangers\u201d to his country\u2019s prosperity.<\/p>\n<p class=\"\">But while Chinese officials project confidence, the markets and the country\u2019s public seem less convinced.<\/p>\n<figure class=\"styles_inlineImage__yAWZ0 styles_medium__OMa6x\"><picture class=\"styles_image__1qciH\" data-testid=\"picture\"><source media=\"(min-width: 1000px)\" srcset=\"https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-560w,f_avif,q_auto:eco,dpr_2\/rockcms\/2024-10\/241009-china-economy-mb-1026-a29482.jpg 2x, https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-560w,f_auto,q_auto:best\/rockcms\/2024-10\/241009-china-economy-mb-1026-a29482.jpg 1x\"\/><source media=\"(min-width: 320px)\" srcset=\"https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-760w,f_avif,q_auto:eco,dpr_2\/rockcms\/2024-10\/241009-china-economy-mb-1026-a29482.jpg 2x, https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-760w,f_auto,q_auto:best\/rockcms\/2024-10\/241009-china-economy-mb-1026-a29482.jpg 1x\"\/><img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-760w,f_auto,q_auto:best\/rockcms\/2024-10\/241009-china-economy-mb-1026-a29482.jpg\" alt=\"China Stock Market On Tuesday\" height=\"1666\" width=\"2500\"\/><\/picture><figcaption class=\"caption styles_caption__Pe5JC\" data-testid=\"caption\"><span class=\"caption__container\" data-testid=\"caption__container\">An investor observes stock prices in Hangzhou, China, on Oct. 8.<\/span><span class=\"caption__source\" data-testid=\"caption__source\">Long Wei \/ VCG via Getty Images<\/span><\/figcaption><\/figure>\n<p class=\"\">\u201cBeijing is signaling to the market that there will be more stimulus ahead, but it will be measured and it will be phased,\u201d said Keyu Jin, an associate professor at the London School of Economics and the author of \u201cThe New China Playbook.\u201d<\/p>\n<p class=\"\">The Communist Party has good reason to approach the situation cautiously. In 2021, <a href=\"https:\/\/www.nbcnews.com\/news\/world\/what-evergrande-chinese-property-giant-behind-global-selloff-fears-n1279929\" target=\"_blank\" rel=\"noopener\">the collapse of China\u2019s real estate sector<\/a> just as the country began lifting its pandemic restrictions sent shockwaves through the economy. For many Chinese people, property is where they parked their savings, and the wipeout was brutal for ordinary homebuyers.<\/p>\n<p class=\"\">China\u2019s economic sluggishness comes at a time when, diplomatically and militarily, it finds itself locked in a fierce rivalry with the U.S. and its allies, and the trade war that began with the Trump administration has only persisted under President Joe Biden. Its broader financial lethargy and this week\u2019s market turmoil will hardly be welcomed by Beijing.<\/p>\n<p class=\"\">But what do this week\u2019s events mean for ordinary Chinese citizens? For Fu, a 24-year-old graduate student in Beijing, this month\u2019s paroxysms don\u2019t change much on the ground. \u201cChinese people\u2019s money isn\u2019t really in the stock market. They tend to prefer saving,\u201d said Beijing-based Fu, who declined to give his first name out of fear of repercussions for criticizing government policy.<\/p>\n<figure class=\"styles_inlineImage__yAWZ0 styles_medium__OMa6x\"><picture class=\"styles_image__1qciH\" data-testid=\"picture\"><source media=\"(min-width: 1000px)\" srcset=\"https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-560w,f_avif,q_auto:eco,dpr_2\/rockcms\/2024-10\/241008-china-economy-mb-1050-6493c7.jpg 2x, https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-560w,f_auto,q_auto:best\/rockcms\/2024-10\/241008-china-economy-mb-1050-6493c7.jpg 1x\"\/><source media=\"(min-width: 320px)\" srcset=\"https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-760w,f_avif,q_auto:eco,dpr_2\/rockcms\/2024-10\/241008-china-economy-mb-1050-6493c7.jpg 2x, https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-760w,f_auto,q_auto:best\/rockcms\/2024-10\/241008-china-economy-mb-1050-6493c7.jpg 1x\"\/><img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-760w,f_auto,q_auto:best\/rockcms\/2024-10\/241008-china-economy-mb-1050-6493c7.jpg\" alt=\"China state planner lays out further actions to boost economy but no new plans for major stimulus.\" height=\"1667\" width=\"2500\"\/><\/picture><figcaption class=\"caption styles_caption__Pe5JC\" data-testid=\"caption\"><span class=\"caption__container\" data-testid=\"caption__container\">An employee works at a factory that produces car parts in Lianyungang, China, on Tuesday.<\/span><span class=\"caption__source\" data-testid=\"caption__source\">AFP &#8211; Getty Images<\/span><\/figcaption><\/figure>\n<p class=\"\">Some of those who dabble in the stock market have been vocal about rising indexes in recent weeks, with users on Chinese social media reacting with enthusiasm. Even so, \u201cthey just want to rush and make fast money,\u201d said Miao Yuqing, a 50-year-old retired professional trader in Beijing.<\/p>\n<p class=\"\">\u201cMost of them didn\u2019t even understand the market,\u201d Miao added, saying that ultimately \u201cthe market is very opaque \u2026 so in the end it\u2019s only the elite making money.\u201d<\/p>\n<p class=\"\">Far more likely to affect regular citizens is the raft of measures announced on Sept. 24 including rate cuts, making borrowing easier and freeing up commercial banks from having to hold large amounts of reserves. China also announced a new draft law on Friday that aims to revive its private sector.<\/p>\n<p class=\"\">Economists say Beijing has more stimulus up its sleeve.<\/p>\n<p class=\"\">\u201cWhat China needs is to do structural reforms,\u201d said Alicia Garcia-Herrero, chief economist for Asia Pacific at Natixis, pointing to bigger pensions and unemployment benefits. \u201cI do think they will announce something in that regard.\u201d<\/p>\n<figure class=\"styles_inlineImage__yAWZ0 styles_medium__OMa6x\"><picture class=\"styles_image__1qciH\" data-testid=\"picture\"><source media=\"(min-width: 1000px)\" srcset=\"https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-560w,f_avif,q_auto:eco,dpr_2\/rockcms\/2024-10\/241009-china-economy-mb-1027-8e8809.jpg 2x, https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-560w,f_auto,q_auto:best\/rockcms\/2024-10\/241009-china-economy-mb-1027-8e8809.jpg 1x\"\/><source media=\"(min-width: 320px)\" srcset=\"https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-760w,f_avif,q_auto:eco,dpr_2\/rockcms\/2024-10\/241009-china-economy-mb-1027-8e8809.jpg 2x, https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-760w,f_auto,q_auto:best\/rockcms\/2024-10\/241009-china-economy-mb-1027-8e8809.jpg 1x\"\/><img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/media-cldnry.s-nbcnews.com\/image\/upload\/t_fit-760w,f_auto,q_auto:best\/rockcms\/2024-10\/241009-china-economy-mb-1027-8e8809.jpg\" alt=\"2024 help workshop Construction\" height=\"1663\" width=\"2500\"\/><\/picture><figcaption class=\"caption styles_caption__Pe5JC\" data-testid=\"caption\"><span class=\"caption__container\" data-testid=\"caption__container\">Construction workers in Guizhou province, China, on Tuesday.<\/span><span class=\"caption__source\" data-testid=\"caption__source\">Costphoto \/ NurPhoto via Getty Images<\/span><\/figcaption><\/figure>\n<p class=\"\">Domestic stimulus aside, there have been outward signs that China\u2019s economy is in trouble. In August, Beijing <a href=\"https:\/\/www.cnbc.com\/2024\/08\/19\/us-china-sign-agreement-to-cooperate-on-financial-stability.html\" target=\"_blank\" rel=\"noopener\">entered into an agreement<\/a> with Washington to cooperate on future financial stability. That\u2019s a far cry from the <a href=\"https:\/\/www.nbcnews.com\/news\/world\/china-tariffs-biden-symbolic-industrial-overcapacity-rcna172215\" target=\"_blank\" rel=\"noopener\">long-running geopolitical rivalry<\/a> in which the world\u2019s economic superpowers remain locked.<\/p>\n<p class=\"\">As for what\u2019s next, Zheng Shanjie, chairman of China\u2019s National Development and Reform Commission, said Tuesday that China is \u201cfully confident\u201d of achieving its full-year growth target of 5%.<\/p>\n<p class=\"\">That target might be a bit optimistic for some analysts. Yue Su, principal economist at the Economist Intelligence Unit, said her team was maintaining an annual forecast of 4.7% for 2024, as it will take time for the aid injection to translate into \u201cstrong\u201d economic activity.<\/p>\n<p class=\"endmark\">\u201cIt is clear that the government does not want to exhaust its policy tools too quickly,\u201d Su said in a note, adding that the government could announce more support to \u201cboost the real economy, recapitalize banks, and stabilize the property market.\u201d<\/p>\n<\/div>\n<p><script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3711241968723425\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-format=\"fluid\"\r\n     data-ad-layout-key=\"-fb+5w+4e-db+86\"\r\n     data-ad-client=\"ca-pub-3711241968723425\"\r\n     data-ad-slot=\"7910942971\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<br \/><div data-type=\"_mgwidget\" data-widget-id=\"1660802\">\r\n<\/div>\r\n<script>(function(w,q){w[q]=w[q]||[];w[q].push([\"_mgc.load\"])})(window,\"_mgq\");\r\n<\/script>\r\n<br \/>\n<br \/><a href=\"https:\/\/www.nbcnews.com\/news\/world\/chinas-economic-woes-give-markets-week-forget-public-little-cause-opti-rcna174466\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>BEIJING \u2014 A wave of optimism swept Chinese markets recently when Beijing announced a stimulus package many hoped would pave the way for a wave of investment to help fuel &hellip; <a href=\"https:\/\/hotvideos24.online\/?p=113448\" class=\"more-link\">Read More<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-113448","post","type-post","status-publish","format-standard","hentry","category-business","entry"],"_links":{"self":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/113448","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=113448"}],"version-history":[{"count":0,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/113448\/revisions"}],"wp:attachment":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=113448"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=113448"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=113448"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}