China's Rescue Mission

The Chinese government announced a body of measures to stimulate growth, putting the 5% GDP growth back in picture. The stimulus package includes monetary easing consisting of interest rate cuts and a reduction in the reserve requirement ratio, potential fiscal support and targeted measures for the real estate sector. While the stimulus has sparked a market rally, its long-term effectiveness is uncertain. The property market downturn and sluggish consumption pose significant challenges, and the full impact of the measures may not be evident until later in the year.