China Urged to Prioritize Economy Over Territorial Ambitions, Says Taiwan’s President Lai 
Oil Prices Hold Steady as Ukraine Tensions and Fed Cut Expectations Support Market 
Dollar Holds Steady as Markets Shift Focus to 2026 Rate Cut Expectations 
Spain’s Industrial Output Records Steady Growth in October Amid Revised September Figures 
BOJ Faces Pressure for Clarity, but Neutral Rate Estimates Likely to Stay Vague 
Asia’s IPO Market Set for Strong Growth as China and India Drive Investor Diversification 
Asian Markets Stabilize as Wall Street Rebounds and Rate Concerns Ease 
Asian Currencies Edge Higher as Markets Look to Fed Rate Cut; Rupee Steadies Near Record Lows 
China’s manufacturing PMI for February is expected to reach an historic low of 38.8. The impact of the virus outbreak will see PMI drop further than the previous low in Q4 2008, according to the latest report from ANZ Research.
However, the biggest risk facing the economy is the breakdown of the liquidity chain. We estimate a shortfall of CNY2.6 trillion in cash flow in the corporate sector.
The virus outbreak has caused lack of cash revenue given the demand shock; mismatch of accounts receivable and payable; and insufficient cash to service loan and interest payments.
If the authorities cannot address the cash flow issue effectively, the outcome for bad loans, defaults, bankruptcy, and employment will be severe, the report added.
