Can Chinese stocks save iron ore?


Can the CCP even save stocks? Not on its current trajectory. Goldman has more.

MSCI China has experienced a roller-coaster ride to start 2024, falling 12% in the first 16 trading days on intensifying growth and policy concerns before bouncing 8% from the low at one point on a larger-than-expected RRR cut and rising National Team support.

Specifically, on January 23rd, Bloomberg reportedthat the government is planning to establisha Rmb2tn (~3% of A-share market cap) market stabilization fund focusing on the stock market, with the initial capital contributed by State-related entities’ offshore cash and cash-equivalent accounts.

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About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.