Weekend data from China included the latest CPI, but it's the credit data:

that has ING worried:

  • The weekend’s data may increase the urgency to lower funding costs with an interest rate cut.
  • The market’s baseline case for this Wednesday’s medium-term lending facility rate remains no rate cut, as previous hints pointed to RRR cuts prior to a rate cut, but the weekend’s data add to the probability of a surprise rate cut.
china 16 August 2023