Investors say officials have quietly been prodding state-linked financial firms to buy up stocks to help stem the selloff. “If you read the tea leaves from what the government was saying…the signal was the Chinese economy is not doing that badly," said David Chao, global market strategist for Asia-Pacific at asset manager Invesco. The days of blowout stimulus packages that shock China’s economy into roaring expansions are over. But the single biggest problem for China’s economy is its property sector. Li, China’s premier, told the audience in Davos that China’s economy would have its ups and downs but that its long-term trajectory was assured.

Source: Wall Street Journal January 26, 2024 12:58 UTC