It seems the machines never sleep.
What futures loved was the series of traditionally hollow promises from Xi including:
promise to open up China to the world and expand imports
“work hard” to import more products that are needed by China's people
implement major opening up steps,
lower auto and auto product import tariff later this year, open sector to higher foreign ownership
release a measures to broaden market access
expand the opening of China's economy
push forward economic globalization
relax market threshold, widen access to market; take major measures in opening and sharply widen market access
implement financial and insurance market opening measures
strengthen IP protection for foreign firms (to restructure IP bureau
Then there were the ideological vows:
China reform and opening will definitely succeed, world should push for free trade
Cold war mentality is out of place, its a zero sum game, isolationism will hit walls
Urges dialog as only way to resolve disputes
Says states must refrain from seeking dominance
Need to uphold multilateral trading system
Incidentally, many if not all of these promises had been made previously, most extensively during last year's Party Congress. In the meantime, the only real change was Xi upgrading himself from mere president and crowning himself emperor for life.
Never one to dig too deep between the lines, algos loved the speech and the result has been a vertical lift in risk-assets:
Now where have we seen that kind of vertical ramp before.. and what happened next?
Xi's speech is being interpreted as somewhat globalist in nature as he plays down tensions and calls for ‘free trade'…
