China’s economy is on a slow march back to normality. In coming days, the trade, credit and inflation data will shine new light on the disruption of recent weeks. In financial markets, rising expectations of policy easing both domestically and abroad have brought Chinese government bond yields to historic lows. For China, at least, we are not changing our forecasts. By contrast, the renminbi has barely budged, but we think it is likely to weaken.
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