HEI: As virus death toll passes 1,000, Chinese government begins to fear idled economy

© Jiri Hojda

THE HEISENBERG writes:

“On February 2, during a meeting of the Politburo’s Standing Committee, Xi Jinping told Party members that efforts to control the spread of coronavirus were overdone and advised local officials to avoid ‘more restrictive measures’.

That’s according to a pair of sources cited by Reuters.

Specifically, the retelling of the meeting suggests Xi believes measures including the shuttering of some public schools and factories, the curtailment of transportation routes and lockdowns imposed at residential compounds aren’t constructive and may be doing more harm than good by stoking fear among the populace.

Xi is, of course, concerned about the economy, which was already growing at the slowest pace in decades even before the virus hit.

Estimates vary, but, in a note out last week, Nomura’s Chief China Economist Ting Lu posited…”

To read the full note, please click here (sub may be required).