SYDNEY - Chinese stocks are headed for the best week since 2008 as Beijing rolled out a huge stimulus package to revive the economy, lifting Asian shares to 2-1/2-year highs, while a sharp fall in oil prices bodes well for disinflation globally.
MSCI's broadest index of Asia-Pacific shares outside Japan gained 1.1% to its highest level since February 2022. It was headed for a weekly gain of 6%, thanks to a huge turnaround in Chinese shares."Beijing seems finally determined to roll out its bazooka stimulus in rapid succession... Beijing’s recognition of the severe situation of the economy and lack of success in a piecemeal approach should be valued by markets," said Ting Lu, chief China economist at Nomura.
Reuters reported on Thursday that China planned to issue special sovereign bonds worth about 2 trillion yuan this year as part of a fresh fiscal stimulus. "In overly simplistic terms, the three of the front runners have quite different attitudes toward the evolution of fiscal and monetary policy such that the outcome could influence equities, JGBs and the Yen," said Ray Attril, head of FX research at the National Australia Bank (OTC: