Traders with an eye on China have been dissatisfied with support measures unveiled so far the economy.
This is unlikely to change with the latest announcement from overnight:
- Two of China’s top financial regulators stepped up pressure on financial institutions to ease terms for property companies, by encouraging negotiations to extend outstanding loans.
- The People’s Bank of China (PBOC) and National Financial Regulatory Administration (NFRA) said in a joint statement on Monday that the aim is to ensure the delivery of homes that are under construction. Some outstanding loans – including trust loans due by the end of 2024 – will be given a one-year repayment extension, it said. Previously, the more-generous loan terms were to be applied only for loans that were due by late May 2023.
This is not the large-scale stimulus measures traders were seeking. The wait continues.
Info comes via Singapore media, link here for more (may be gated).