Insight
China economic focus September 2024: the impact of the interest rate cuts
*Please note that this report only includes an Excel data file if this is indicated in "What's included" below
Report summary
The US interest rate cuts bring support to the Chinese property markets. However, the determining factor is still the fundamentals and sentiments in China. China’s central bank has more room for monetary easing. Interest rate cuts are an essential policy stimulus for China to end deflation. Subsequent renminbi appreciation may hurt China’s exports. However, products from the US and Europe may become more competitive in 2025.
Table of contents
- Executive summary
- The immediate impact on property markets
- Next steps: monetary easing
- Potential challenge: weakened competitiveness in exports
- Appendix
Tables and charts
This report includes 15 images and tables including:
- US’ federal fund effective rate vs China’s loan prime rates (LPR)
- Weekly housing sales in 21 cities
- GDP deflator, CPI and PPI
- Fiscal income
- Special-purpose local government bond
- Currency appreciation between July 2024 and December 2025
- Wood Mackenzie's proprietary China data
- Manufacturing PMI
- Industrial production and retail sales
- Trade
- Inflation
- Property
- Investment
- Money supply (M2)
- Required reserve ratio
What's included
This report contains:
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