Once again, Beijing is finding out that they have a rather tough crowd to please. After the conclusion of the NPC meeting today, officials announced a ¥6 trillion plan to refinance local government debt (added context) as seen here. The figure there is as expected, matching the split of the supposed ¥10 trillion stimulus package leak from last week. But where is the rest?
So far, there's no additional announcement pertaining the ¥4 trillion in special-purpose bonds for idle land and property purchases. And not to mention whatever "enhanced" stimulus in reaction to Trump's election win. Or perhaps we will get more details over the weekend?
In any case, the Chinese yuan has fallen alongside other related assets such as iron ore and copper on the lack of oomph thus far. The offshore yuan is now down to 7.180 against the dollar, largely erasing its advance from yesterday.
