Monday, July 12, 2021

China Loosens, Why?

 In a surprise move, China reversed its recent monetary policy-tightening and is now geared towards loosening.  What do they know?  Apparently, a lot.  Their economic recovery is not as steep as they liked, yes, but my guess is that they see the Delta variant as a real game changer for the global economy.

The UK is in the midst of a sharp upturn in cases and so are various other European countries. Should Delta make its way to China (it will, its only a matter of time) things could turn really challenging.  And when it really hits the under-vaccinated and way overconfident US… well…. It could be ugly.

In other news, I’m on vacation mode so expect fewer and shorter posts. Later….

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