China’s Major Stimulus Boosts Markets, Signals Strong Economic Growth

On Tuesday, Pan Gongsheng, the Governor of the People's Bank of China, revealed a set of economic stimulus measures, marking what some economists view as the central bank's largest intervention since the Covid-19 pandemic.

Just days later, on Thursday, China’s Politburo announced that more actions are being considered to boost the economy, pushing the Hang Seng Index to a one-year high.

By Friday, the Hang Seng Index had risen 13% from the previous week, reflecting growing optimism around China’s economy. This surge in sentiment has also sparked renewed interest in exchange-traded funds (ETFs) focused on Chinese stocks, as covered in this week’s ETF Wrap by Isabel Wang. Experts weighed in on how these stimulus measures might affect the investment landscape.

Meanwhile, the S&P 500 continues its strong performance, having gained over 20% so far in 2024, following a 24% rise last year. This two-year streak, reported by Joseph Adinolfi, could have significant implications for investors as they plan ahead.

Additionally, Aarthi Swaminathan spoke with Adrianne Todman, acting secretary of the U.S. Department of Housing and Urban Development, about new efforts to expand housing availability. In related news, tax-exempt municipal bonds linked to Brightline rail service from Miami to Orlando are offering enticing coupon rates, some as high as 12%.