A glass half-full view built on stimulus efforts succeeding
Yes, a weakening renminbi is worrying, particularly when the US dollar is broadly lower, but fiscal and monetary stimulus is a nice comfort blanket. Japan is rolling out a ¥117tn ($1.1tn) package of easing, equal to 6 per cent of gross domestic product a month, after announcing the previous round of stimulus. The European Commission fired up appetite for regional shares and sovereign bonds with plans to seek approval to borrow as much as €750bn in debt in order to fund the eurozone’s recovery from Covid-19.