PBOC reaffirms that hyperinflation or deflation is unlikely to happen
The Chinese central bank also vows to prevent such risks from occurring as the Chinese economy recovers from the virus fallout in recent months.
This is very much going to be the narrative that comes out of China for the most part i.e. economic data and the language will suggest that the economy is back on track and have "defeated" the virus.
But as I mentioned before, the more important thing will be to pay attention to policy measures that will be carried out during this period.
As long as the PBOC and the government continues to keep the stimulus tap flowing, it shows that the economy is still very much in recovery mode.
