Speculation arises following a key sentence in Xi Jinping's past speech, hinting at potential government bond purchases by the People's Bank of China for economic aid. Analysts suggest the PBOC may favor traditional tools over quantitative easing strategies, aligning with Xi's call to enhance treasury bond trading. Market responses were positive, with stock index and bond futures seeing an uptick. Economists offer perspectives on monetary policy tools and the PBOC's likely steps to ensure liquidity and bolster the economy.

China Speculates on Monetary Easing