China Announces CNY 6T treasury bond plan to support local debt & property mkt stability

• China plans to issue CNY 6 trillion in Treasury Bonds over three years, with a portion of the funds helping local governments manage off-the-books debts.

China’s Vice Finance Minister emphasized promoting stability in the property market and expanding the scope of local government debt usage, aiming to issue CNY 1 trillion in special treasury bonds by 2024. This seems much higher than expectations although what “portion” comes to is ambiguous.

US stocks have moved higher. The USDCNH moved lower but found support buyers near the 100 hour MA at 7.07887. The 200 day moving average is at 7.06902.

This article was written by Greg Michalowski at www.forexlive.com.