Morning Bites (part 1)
🏦China’s aggregate financing fell 45% YoY in May to CNY 1.56tn, reversing from the 31% YoY growth in April. The figure was 22% below the consensus. At the same time, traditional bank loans shrank 28% YoY (+11% YoY in April), a 15% miss to the market forecast. Following the sluggish Chinese economic recovery (indicated by soft PMIs and weak real estate sales), Beijing is considering new measures to support the economy, mostly by stimulus for its property sector. In addition, a recent cut in short-term borrowing costs, strong liquidity inflows in early-2023 and plans for massive infrastructure projects might also bolster a recovery in China’s construction activity later this year, supporting the consumption of industrial metals (e.g., steel, aluminum and copper)
#global
https://metals-wire.com:3000/news-reports
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