Reported 5 months ago
China's $538 billion deposit exodus has fueled a bond rally, as efforts to boost economic growth led to a record outflow from bank deposits into higher-yielding assets like bonds and wealth management products. This shift, driven by investors seeking better returns and policy changes limiting preferential deposit rates, has yet to significantly impact consumer spending or stock investment. Despite concerns over the economic outlook, inflows into bonds and dividend stocks are expected to persist, indicating a shift towards riskier assets amid weakening confidence in the economy.
Source: YAHOO