EM by EM #30 Pick-up from King Carry?
After a prolonged saga of stimulus negotiations and the expenditure of countless man-hours in preparation, it is evident that the Chinese stimulus can, at best, provide temporary relief to an ongoing structural issue that is not going away anytime soon.
While we received some positive numbers this week, with industrial production and consumer spending exceeding expectations, the housing market figures remain dismal and are unlikely to improve unless the CCP alters its course.
Apart from causing concern in the financial sector, the direct impact on the labor market is an often overlooked yet plainly evident consequence of the current crackdown on real estate
Chart 1: China Construction sector employment
What should not be overlooked at this juncture is the…
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