Natwest Markets China Economist Peiqian Liu on China's PMI

The transcript discusses China's economic outlook, focusing on manufacturing PMI, supply constraints, and the impact of the Omicron variant on China's COVID-19 strategy. It explores the potential for economic recovery post-Winter Olympics, the PBOC's easing outlook, and risks to Beijing's common prosperity drive, particularly in the property sector.

What is the expected impact of the Omicron variant on China's manufacturing sector according to the discussion?

• Complete halt in production

• Minimal impact on consumer sentiment and manufacturing

• Increase in manufacturing output

• Significant disruption in manufacturing activities

What is the anticipated shift in China's economic growth drivers in 2022?

• From manufacturing to agricultural growth

• From industrial performance to supply-side growth

• From supply-side to consumption-driven growth

• From consumption to supply-side growth

How is the PBOC expected to approach monetary policy in the coming year?

• Complete withdrawal of monetary support

• Maintaining current interest rates

• Aggressive rate cuts

• Significant increase in interest rates

What sector is identified as a potential risk to China's economic stability in the drive for common prosperity?

• Manufacturing sector

• Property sector

• Agricultural sector

• Technology sector

What is the main concern if the property sector in China does not stabilize?

• Boost in industrial activities

• Impact on household wealth and broader economic slowdown

• Rise in consumer spending

• Increase in foreign investments