The Chinese are propping up their market.
The Chinese government has swooped in to prop up the country’s flailing markets, Axios’ Kate Marino writes.
Driving the news: A top economic official said today the government would take action to boost the economy, and that it would introduce policies that are favorable to the market, the FT reports.
The big picture: China sits at the center of today’s geopolitical and economic uncertainty. Investors were fleeing the country’s assets this week, as we wrote about yesterday.
New COVID lockdowns across the country threaten its growth — which in turn threatens global growth because the Chinese market is the world’s largest customer. The lockdowns also imperil supply chains for things from tech to consumer goods.
China’s alliance with Russia has also put it at risk of becoming embroiled in President Vladimir Putin’s conquest of Ukraine, Bloomberg notes.
Investors were also worried about renewed government clampdowns on homegrown tech giants.
The impact: Hong Kong’s Hang Seng Index is having its best day since 2008, rising more than 9%, while a tech subindex jumped 22%, the FT reports.Axios Markets By Emily Peck and Matt Phillips ·Mar 16, 2022