Bloomberg Headline: China’s Politburo Ignites Market Rally With Vows on Growth, Tech
Subheadline: Unusual midday announcement provides relief for stocks, yuan
Top leaders promise to guarantee supply chains and logistics
China’s top leaders promised to boost economic stimulus to spur growth and vowed to contain the country’s worst Covid outbreak since 2020, which is threatening official targets for this year.
“We should waste no time in planning more policy tools and enhance the strength of adjustment in due course,” the Communist Party’s Politburo said Friday, according to a readout of a meeting of the leadership on state broadcaster China Central Television.
Led by President Xi Jinping, the Politburo signaled its commitment to Covid Zero, a strategy that’s forced major cities like Shanghai to shut down, disrupted business operations and roiled global supply chains. Xi earlier this week highlighted infrastructure as a big focus for the government as growth comes under pressure, a pledge reiterated by the leadership meeting today.