Policymakers signal preference for “fine-tuning” over stimulus

With the People's Bank pushing interbank rates higher and senior figures ruling out significant fiscal and monetary loosening, market hopes of a stimulus package for China are likely to be disappointed. Instead, the government seems confident that some policy fine-tuning will be enough to prevent growth slipping too much further. In this China Watch, we assess the policy outlook and preview the coming month’s data releases, which include Q1 GDP.