More China stimulus coming, but not the big guns yet

A dramatic escalation of stimulus would mean that the government and People’s Bank of China would need to soften their approach to reining in debt. - Reuters

HONG KONG (Bloomberg): China is preparing to inject more cash into the financial system, as the slowing economy faces further pressure in the form of slumping global demand from the coronavirus pandemic.

While the central bank is expected to encourage bank lending by lowering the reserve requirements in the coming days, a blitz of data on Monday is expected to lay bare the scale of stimulus needed to reboot the US$14 trillion economy.