Posts Tagged ‘Zhengzhou Commodity Exchange’

Chinese Commodities Rally on Hopes of Stimulus to Boost Economy

Monday, July 4th, 2016

Chinese commodities from nickel to cotton surged on Monday (July 4) on hopes Beijing will unleash more stimulus to prop up a sluggish economy, brightening the outlook for raw material demand.

An official survey on Friday (July 1) pointed to China’s weak manufacturing sector in June with export orders and inventories falling and factories shedding more workers.

“There are headwinds in the domestic market and exports and for the government to achieve its macroeconomic targets they need to focus on more stimulus in the second half of the year. That will be good for commodity demand,” said Helen Lau, an analyst at Argonaut Securities in Hong Kong.

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