Below is a brief excerpt transcribed from today's edition of The Macro Show hosted by Senior Macro Analyst Darius Dale.
Ask yourself this morning... why has China not recovered despite them cutting the Reserve Requirement Ratios for major banks 400 basis points since April of last year?
The answer is obvious.
It's because they’re not easing.
They’re just ameliorating quantitative tightening associated with the decline within their reserves.
Cutting these Triple R's does not ease liquidity. All these headlines you see about "China Easing" isn't changing a thing. All they're doing is trying to quell the tightening that's been going on in the financial sector for over a decade now.