Asian Currencies Steady as Rupee Hits Record Low Amid Fed Rate Cut Bets 
European Stocks Rise as Markets Await Key U.S. Inflation Data 
Asian Markets Mixed as Fed Rate Cut Bets Grow and Japan’s Nikkei Leads Gains 
Asia’s IPO Market Set for Strong Growth as China and India Drive Investor Diversification 
Europe Confronts Rising Competitive Pressure as China Accelerates Export-Led Growth 
Japan’s Nikkei Drops as Markets Await Key U.S. Inflation Data 
IMF Deputy Dan Katz Visits China as Key Economic Review Nears 
China’s Services Sector Posts Slowest Growth in Five Months as Demand Softens 
Oil Prices Rise as Ukraine Targets Russian Energy Infrastructure 
European Oil & Gas Stocks Face 2026 With Cautious Outlook Amid Valuation Pressure 
RBI Cuts Repo Rate to 5.25% as Inflation Cools and Growth Outlook Strengthens 
Gold Prices Steady as Markets Await Key U.S. Data and Expected Fed Rate Cut 
Gold Prices Edge Higher as Markets Await Key U.S. PCE Inflation Data 
BOJ Faces Pressure for Clarity, but Neutral Rate Estimates Likely to Stay Vague 
Dollar Weakens Ahead of Expected Federal Reserve Rate Cut 
China’s Economic Stimulus: $1.4 Trillion Debt Relief Amid Slowing Inflation
In October, China’s consumer prices grew at a slower pace, while deflation deepened in its manufacturing sector. This economic slowdown has led Beijing to intensify stimulus measures, aiming to stabilize its economy.
Slowing Inflation and Rising Deflation
According to China’s National Bureau of Statistics, the consumer price index (CPI) in October rose just 0.3% year-over-year, down from September’s 0.4% increase and the lowest growth rate since June. This fell short of the 0.4% forecast by economists in a Reuters poll, while on a month-to-month basis, CPI dropped by 0.3% after remaining flat in September, below the projected 0.1% decline.
The producer price index (PPI), which tracks factory-level inflation, decreased by 2.9% year-over-year, marking a deeper drop than the 2.8% decline in September. This figure also fell short of the expected 2.5% decline, signaling increasing deflationary pressure on Chinese manufacturers.
Government’s $1.4 Trillion Debt Relief Package
China has announced a 10 trillion yuan ($1.4 trillion) package focused on reducing "hidden debt" among local governments to combat these economic challenges. Rather than injecting liquidity directly into the economy, this package seeks to provide structural debt relief, allowing local governments more financial flexibility to support economic activity without adding further inflationary pressure.
Conclusion
With consumer prices slowing and producer deflation deepening, China's economic outlook remains uncertain. However, this significant debt relief measure reflects Beijing’s commitment to tackling underlying fiscal pressures to stabilize growth.
