PBOC Putting Policy Floor Beneath Emerging Growth Risks, Says BNY Mellon's Mitra

The transcript discusses the People's Bank of China's (PBOC) policy expectations and their implications for the Chinese bond market. It highlights the reduction of risk weights on local government bonds to finance infrastructure projects and the impact of currency fixing on market sentiment. The discussion also covers China's economic outlook, including growth rates, policy measures, and challenges in the property sector.

What is one of the key strategies discussed for financing infrastructure projects in China?

• Issuing special bonds

• Reducing interest rates

• Issuing more corporate bonds

• Increasing foreign investment

How does two-way volatility in the currency benefit the Chinese market?

• It encourages onshore hedging

• It increases foreign reserves

• It reduces inflation

• It stabilizes the stock market

What is the expected impact of stronger currency fixing on the trade-weighted index?

• It will slightly weaken the trade exchange rate

• It will not dramatically affect the trade exchange rate

• It will have no impact on the trade exchange rate

• It will significantly strengthen the trade exchange rate

What is the projected growth rate for China, according to the transcript?

• Exactly 6.5%

• Between 6.5% and 7%

• Above 7%

• Below 6.5%

What is a major concern regarding the property sector in China?

• Asset price bubbles

• High interest rates

• Lack of foreign investment

• Decreasing urbanization