Beijing signaled more liquidity support for the country's stumbling economy, and senior officials made unexpected trade-data disclosures, marking a new trend of surprise policy and data announcements.
People's Bank of China Gov. Pan Gongsheng said at a briefing Wednesday that there is room to cut banks' reserve requirements, pledging to prop up consumer prices and keep the yuan stable.
Economists said it is rare for China's central bank governor to signal potential monetary easing, which is usually telegraphed in advance by more senior officials including the Chinese premier. Gov. Pan announced a surprise RRR cut during a news conference in January.
At the same briefing, National Development and Reform Commission Chairman Zheng Shanjie said that China's exports grew around 10% in January and February. Commerce Minister Wang Wentao later said that the country's exports and imports rose 8.2% in the first two months of the year.
The officials didn't specify whether the increases were in yuan or dollar terms. China releases combined trade data for January and February to smooth distortions from the timing of the Lunar New Year holiday. The official trade data for the two months are scheduled to be released on Thursday.
A poll of economists by The Wall Street Journal showed that China's exports in dollar terms likely rose 3.0% in January-February from a year earlier, accelerating from the 2.3% increase in December, while imports likely rose 2.2% during the period, picking up from December's 0.2% increase. The trade surplus for the two months is expected at $101.5 billion.
Wednesday's early data release was the second such occurrence this year. Premier Li Qiang gave a preview in January when he disclosed China's 2023 growth rate during an address at the World Economic Forum meeting in Davos, Switzerland.
The trade-data disclosure came a day after China announced an ambitious 2024 growth target of around 5% as Beijing sought to project confidence amid widespread pessimism about the economy.
Write to Singapore Editors at singaporeeditors@dowjones.com
(END) Dow Jones Newswires
03-06-24 0547ET
