{"id":114069,"date":"2024-10-14T14:58:03","date_gmt":"2024-10-14T07:58:03","guid":{"rendered":"https:\/\/hotvideos24.online\/?p=114069"},"modified":"2024-10-14T14:58:03","modified_gmt":"2024-10-14T07:58:03","slug":"chinese-stocks-volatile-after-beijing-lays-out-fiscal-plans","status":"publish","type":"post","link":"https:\/\/hotvideos24.online\/?p=114069","title":{"rendered":"Chinese stocks volatile after Beijing lays out fiscal plans"},"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>Unlock the Editor\u2019s Digest for free<\/p>\n<p class=\"article__content-sign-up-topic-description\"><span>Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.<\/span><\/p>\n<p><iframe class=\"article__content-sign-up-iframe close\" scrolling=\"no\" id=\"signUpIframe\" data-prev-url=\"\/register\/in-article-sign-up?ft-content-uuid=ddf0d6d8-b807-46f3-be8b-c3f242c99b0c\"><\/iframe><\/div>\n<div id=\"article-body\">\n<p>Chinese stocks were volatile on Monday after Beijing sought to reassure investors over the weekend about its plan to increase spending to boost the world\u2019s second-largest economy.<\/p>\n<p>The finance ministry on Saturday said it <a href=\"https:\/\/www.ft.com\/content\/954f761d-4c4c-4746-ba8d-89d9c67b52da\" data-trackable=\"link\">planned to recapitalise local governments and state banks<\/a> and buy unsold property as part of its stimulus plans but held back from providing detailed figures.<\/p>\n<p>Chinese investors, who kicked off a <a href=\"https:\/\/www.ft.com\/content\/99a31ef2-335b-44d8-9528-395de654f02f\" data-trackable=\"link\">record stock market rally<\/a> in late September after Beijing announced monetary stimulus, are waiting for the government to reveal its planned fiscal expenditure. <\/p>\n<p>On Monday, mainland <a href=\"https:\/\/www.ft.com\/china\" data-trackable=\"link\">China<\/a>\u2019s CSI 300 benchmark was up 1.52 per cent by the noon break in volatile trade, with high-tech manufacturing groups such as Cambricon Technologies, CATL and BYD among those driving gains in the index.<\/p>\n<p>But markets in Hong Kong declined slightly, with the benchmark Hang Seng index down 0.4 per cent while a sub-index of Chinese companies listed in the territory dropped 0.22 per cent.<\/p>\n<p>\u201cMarket opinions clearly diverged after the Ministry of Finance briefing,\u201d said Zhang Qi, analyst with Haitong Securities. But he said some investors were starting to venture back into the market after the rally faltered last week on uncertainty over the government\u2019s stimulus plans.<\/p>\n<p>Economists in the cautious camp said the finance ministry\u2019s programmes would help provide a basis for a recovery, but they would need to see the details, including how much the government planned to spend and the programmes\u2019 terms.<\/p>\n<p>Others were more positive, believing that the government would make good on its promises in important meetings planned for the coming weeks, such as a session of the standing committee of the rubber-stamp parliament, the National People\u2019s Congress, which can approve new government bond issuance.<\/p>\n<p>\u201cThese changes are enough to maintain optimism leading up to the National People\u2019s Congress session,\u201d said Wei Li, head of multi asset investments of China at BNP Paribas. He said more decisions on stimulus were expected at the Communist party leaders\u2019 meeting on the economy, the Central Economic Work Conference, in December. <\/p>\n<p>Beijing has launched multiple incremental schemes over the past three years since the property sector collapsed, but none have managed to stabilise a deep fall in prices that is hitting household sentiment.<\/p>\n<p>On Thursday, the People\u2019s Bank of China began implementing a scheme to enable domestic financial companies to buy more stocks, the first central bank tool of its kind to shore up stock market liquidity.<\/p>\n<p>The announcement of the tool in late September ignited a market rally that sent stock prices up more than 30 per cent before it cooled off last week.<\/p>\n<p>The finance ministry briefing was followed by data on Sunday showing that <a href=\"https:\/\/www.ft.com\/content\/cb152479-e2ff-41e3-bc57-4912e3195383\" data-trackable=\"link\">deflationary pressures remained strong<\/a>, one of the chief concerns for economists.<\/p>\n<aside aria-labelledby=\"aside-label\" class=\"n-content-recommended--single-story n-content-recommended--inset\" data-component=\"recommended\">\n<p class=\"n-content-recommended__title\">Recommended<\/p>\n<div class=\"o-teaser o-teaser--article o-teaser--small o-teaser--stacked o-teaser--has-image js-teaser\" data-id=\"7e7fbf9e-b787-479e-bfcd-f5d9f3908d29\">\n<div class=\"o-teaser__image-container js-teaser-image-container\"><a href=\"https:\/\/www.ft.com\/content\/7e7fbf9e-b787-479e-bfcd-f5d9f3908d29\" data-trackable=\"image-link\" tabindex=\"-1\" aria-hidden=\"true\"><\/p>\n<div class=\"o-teaser__image-placeholder\" style=\"aspect-ratio:2289\/1287\"><img decoding=\"async\" class=\"o-teaser__image\" src=\"https:\/\/www.ft.com\/__origami\/service\/image\/v2\/images\/raw\/https%3A%2F%2Fwww.ft.com%2F__origami%2Fservice%2Fimage%2Fv2%2Fimages%2Fraw%2Fhttps%253A%252F%252Fd1e00ek4ebabms.cloudfront.net%252Fproduction%252F6b2aa7c4-4c36-4867-b31c-36045cec12dc.jpg%3Fsource%3Dnext-article%26fit%3Dscale-down%26quality%3Dhighest%26width%3D700%26dpr%3D1?source=next&amp;fit=scale-down&amp;dpr=2&amp;width=240\" alt=\"An investor looks at a screen showing stock market movements at a securities company in Hangzhou, in eastern China\u2019s Zhejiang province\"\/><\/div>\n<p><\/a><\/div>\n<\/div>\n<\/aside>\n<p>The weekend briefing sent mixed signals, said Winnie Wu, chief China equity strategist at the Bank of America Securities on Monday, and the market was now in \u201clong-term greedy and short-term cautious\u201d mode.<\/p>\n<p>\u201cWhile some investors may be disappointed, it seems to us that the policy pivoting point has occurred,\u201d said Wu. \u201cWe should see continued policy momentum in the coming weeks, and potentially more fiscal stimulus and structural reforms in 2025.\u201d<\/p>\n<p>But Goldman Sachs economists said the finance ministry\u2019s suggestion that it might spend Rmb2.3tn ($325bn) from previously approved bonds in the final quarter were positive for economic growth.<\/p>\n<p>This led Goldman to upgrade its forecast for China\u2019s economic growth this year to 4.9 per cent from 4.7 per cent, close to Beijing\u2019s official 5 per cent target.<\/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.ft.com\/content\/ddf0d6d8-b807-46f3-be8b-c3f242c99b0c\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Unlock the Editor\u2019s Digest for free Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter. Chinese stocks were volatile on Monday after Beijing sought to &hellip; <a href=\"https:\/\/hotvideos24.online\/?p=114069\" 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-114069","post","type-post","status-publish","format-standard","hentry","category-business","entry"],"_links":{"self":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/114069","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=114069"}],"version-history":[{"count":0,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/114069\/revisions"}],"wp:attachment":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=114069"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=114069"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=114069"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}