China is furiously pulling the macro levers but all the wrong ones. It is certainly going to recover as lockdowns ease but not very powerfully and another shock is just starting.
Here’s a sample of what it is doing monetarily:
The People’s Bank of China (PBOC) on Monday held a meeting with 24 major financial institutions, calling for stronger support for the real economy to tackle growing downward pressure, according to a statement released by the central bank on Tuesday.