Market Briefing: Markets rally back on China reopening hopes
With protests losing steam and Chinese authorities making comforting noises about a relaxation in “zero-covid” policies, yesterday’s flight to safety is beginning to unwind. Treasury yields are softening and the dollar is down as investors tiptoe back into risk assets. Commodities are staging a solid rebound, the Canadian dollar is ticking higher, and the Antipodean units are recovering in a snappish manner. Markets think China’s social unrest has made an immediate reversal in official policy less likely – authorities are loath to acknowledge signs of dissent – but will serve to accelerate the government’s vaccination efforts for the elderly population,...