>>REAL-TIME UPDATES IN THE WIRE. CLICK HERE<<<
The CPC top leadership held the mid-year Politburo meeting on Monday, during which it analyzed the current economic situation and set the policy tone for the second half of this year, Citigroup said in a report.
The Chinese government frankly acknowledged the emerging difficulties in economic development but remained patient in policy response, the note said.
The most prominent move from the government was the pledge to adjust and optimize real estate policies in a timely manner, which should open the door for further property easing, it noted.
The signals on property policy tweaks and hint at local debt issue could be well-received by the market, however, such “non-bazooka” stimulus measures could still miss or even fall behind market expectations, it said.
The magnitude and duration of policy support for the real estate industry remains unclear, so the broker keeps its forecast for China’s 2023 GDP growth unchanged at 5%.