Investing.com-- Chinese stocks rose sharply on Tuesday after the country’s top political body signaled a major shift in Beijing’s stance towards unlocking more stimulus and shoring up a sluggish economy.
The Politburo also said it will support stock and property markets while “vigorously” boosting local consumption and demand- its most clear signal yet of more targeted stimulus measures. China’s benchmark stock indexes are trading up between 15% and 20% up so far in 2024, having rallied in October on promises of more stimulus. But a lack of details on the planned stimulus measures had swiftly cut short the October rally.
The Politburo comments also helped investors mostly look past recent data that showed a persistent deflationary trend in China, further emphasizing on the need for more targeted stimulus measures.