In Conversation with GROW: Unraveling China's Consumption Puzzle

China consumption has been weak.  In the most recent Dragon Boat Festival holidays, tourism revenue is still lower than in 2019.  A few other consumption indicators have also been soft.  The revenge spending does not seem to have happened and the rebalancing of China to a consumption driven economy is making slow progress.  What may turn this around?The Chinese yuan has been falling in view of weak growth and also the outlook of lower interest rates against the US.  That clearly has hurt sentiment in the Chinese equity market as well.  While Chinese households have a lot of deposit money, it has not benefited the stock market so far. In this episode, Richard Tang, the China strategist and Head Research Hong Kong and Hao Hong, Partner and Chief Economist of GROW discussed on China consumption and economy, whether money is being reallocated from China to Japan, and the outlook for the RMB going forward.