The optimism in markets today is in large part due to China announcing that it will end lockdowns in Shanghai in June, at least in low risk areas. There’s some skepticism they will fully follow through but that announcement came along with stimulus measures for the city of 25 million.
These comments from Liu underscore that China will be pulling on economic growth levers at some point and that’s going to be a tailwind for global growth. The timing though is highly uncertain.
