{"id":145396,"date":"2021-11-22T16:07:38","date_gmt":"2021-11-22T16:07:38","guid":{"rendered":"https:\/\/precoinnews.com\/?p=145396"},"modified":"2021-11-22T16:07:38","modified_gmt":"2021-11-22T16:07:38","slug":"us-and-china-move-to-cool-oil-prices","status":"publish","type":"post","link":"https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/","title":{"rendered":"US and China move to cool oil prices"},"content":{"rendered":"<p><cite>Hong Kong (CNN Business)<\/cite>A Chinese central official has warned that stagflation could weigh on an already struggling economy next year. It&#8217;s the latest sign that the government may be thinking about taking some aggressive steps to address slowing growth, including its first lending rate cut since early 2020.<\/p>\n<p>Liu Shijin, a member of the People&#8217;s Bank of China&#8217;s monetary policy committee, told an online forum on Sunday that the world&#8217;s second largest economy may have to deal with &#8220;quasi-stagflation&#8221; the rest of this year and into 2022, if demand continues to struggle and the cost of goods leaving Chinese factories stays high.<br \/>\n&#8220;We need to pay attention to it, because if this happens, it will not only affect the fourth quarter, but also affect next year,&#8221; Liu said.<\/p>\n<ul><\/ul>\n<p>Stagflation \u2014 when inflation is high but economic growth slows \u2014 can be problematic since policies that are intended to curb inflation,<strong> <\/strong>such as higher interest rates, risk suppressing growth even further. Policies intended to boost growth, meanwhile, risk causing prices to keep rising.<\/p>\n<ul><\/ul>\n<p>Even with his warning, Liu still expects the economy to hit China&#8217;s growth target of more than 6% for the year.<\/p>\n<p><noscript><img decoding=\"async\" alt=\"China&amp;#39;s economy is getting walloped by crises in energy, shipping and real estate\" class=\"media__image\" src=\"\/\/cdn.cnn.com\/cnnnext\/dam\/assets\/211017205543-beijing-china-shopping-1016-large-169.jpg\"><\/noscript><br \/>\nRisks to the Chinese economy have been piling up in recent months. Along with surging producer price inflation in the world&#8217;s factory, the country is also grappling with a severe energy crunch and a big slowdown in real estate.<br \/>\nChinese Premier Li Keqiang recently acknowledged those concerns, saying at a seminar in Beijing last week that the economy was facing &#8220;new downward pressures.&#8221; He called out recent Covid-19 outbreaks, severe flooding, rising commodity prices and energy shortages as key concerns.<br \/>\nLi also said that policymakers should focus on helping &#8220;market players,&#8221; including manufacturing companies and small businesses, by offering tax cuts or administrative fee reductions.<br \/>\n&#8220;The concern for growth slowdown is clearly rising among technocrats at different government agencies,&#8221; wrote Larry Hu, head of China economics at Macquarie Group, in a Sunday report.<br \/>\n<img decoding=\"async\" alt=\"China&amp;#39;s &amp;#39;unprecedented&amp;#39; crackdown stunned private enterprise. One year on, it may have to cut business some slack\" class=\"media__image\" src=\"\/\/cdn.cnn.com\/cnnnext\/dam\/assets\/211028213516-02-ant-group-anniversary-xi-jinping-intl-hnk-large-169.jpg\"><br \/>\nAnalysts also suspect that China&#8217;s policymakers may consider cutting interest rates or taking other steps to ease monetary policy. A quarterly report released Friday by the central bank omitted phrases that have appeared previously to signal tighter policies.<br \/>\nThe removal of those phrases suggests a shift on the horizon, according to analysts at Goldman Sachs, Nomura, and Citi.<br \/>\n&#8220;In our view, these deletions represent an official change to the PBoC&#8217;s policy stance and sets the stage for more decisive monetary and credit easing,&#8221; Nomura analysts wrote in a Sunday report.<br \/>\nThose changes aren&#8217;t happening just yet. On Monday, the central bank kept the Loan Prime Rate \u2014 a benchmark rate which banks charge corporate clients for new loans \u2014 unchanged for November, the 19th month in a row.<br \/>\nBut analysts from Capital Economics think it won&#8217;t be long before the central bank starts to cut policy rates. <\/p>\n<ul><\/ul>\n<p>&#8220;As economic strains continue to grow, there will be more pressure to relieve the financing strains of indebted borrowers,&#8221; wrote Julian Evans-Pritchard, senior China economist for the firm, in a Monday report. He added that Capital Economists thinks the central bank will start lowering rates before the end of 2021, &#8220;followed by more reductions in 2022.&#8221;<br \/>\nOthers expect the central bank to explore other options. Rather than changing interest rates, Goldman Sachs analysts said they expected more targeted support for green development and small or medium-sized companies.<br \/>\nSource: <a href=\"https:\/\/edition.cnn.com\/2021\/11\/22\/economy\/china-stagflation-pboc-growth-intl-hnk\/index.html\" target=\"_blank\" rel=\"noopener\">Read Full Article<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Hong Kong (CNN Business)A Chinese central official<\/p>\n","protected":false},"author":3,"featured_media":145395,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23051],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.7 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>US and China move to cool oil prices - Pre Coin News<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"US and China move to cool oil prices - Pre Coin News\" \/>\n<meta property=\"og:description\" content=\"Hong Kong (CNN Business)A Chinese central official\" \/>\n<meta property=\"og:url\" content=\"https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/\" \/>\n<meta property=\"og:site_name\" content=\"Pre Coin News\" \/>\n<meta property=\"article:published_time\" content=\"2021-11-22T16:07:38+00:00\" \/>\n<meta name=\"author\" content=\"mediabest\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:image\" content=\"https:\/\/precoinnews.com\/wp-content\/uploads\/2021\/11\/US-and-China-move-to-cool-oil-prices.jpg\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"mediabest\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/\",\"url\":\"https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/\",\"name\":\"US and China move to cool oil prices - Pre Coin News\",\"isPartOf\":{\"@id\":\"https:\/\/precoinnews.com\/#website\"},\"datePublished\":\"2021-11-22T16:07:38+00:00\",\"dateModified\":\"2021-11-22T16:07:38+00:00\",\"author\":{\"@id\":\"https:\/\/precoinnews.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a\"},\"breadcrumb\":{\"@id\":\"https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/precoinnews.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Business\",\"item\":\"https:\/\/precoinnews.com\/category\/business\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"US and China move to cool oil prices\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/precoinnews.com\/#website\",\"url\":\"https:\/\/precoinnews.com\/\",\"name\":\"Pre Coin News\",\"description\":\"precoinnews.com\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/precoinnews.com\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/precoinnews.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a\",\"name\":\"mediabest\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/precoinnews.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/f5f13cb3b94fc348d515c0951f6ca073?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/f5f13cb3b94fc348d515c0951f6ca073?s=96&d=mm&r=g\",\"caption\":\"mediabest\"}}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"US and China move to cool oil prices - Pre Coin News","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/","og_locale":"en_US","og_type":"article","og_title":"US and China move to cool oil prices - Pre Coin News","og_description":"Hong Kong (CNN Business)A Chinese central official","og_url":"https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/","og_site_name":"Pre Coin News","article_published_time":"2021-11-22T16:07:38+00:00","author":"mediabest","twitter_card":"summary_large_image","twitter_image":"https:\/\/precoinnews.com\/wp-content\/uploads\/2021\/11\/US-and-China-move-to-cool-oil-prices.jpg","twitter_misc":{"Written by":"mediabest","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/","url":"https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/","name":"US and China move to cool oil prices - Pre Coin News","isPartOf":{"@id":"https:\/\/precoinnews.com\/#website"},"datePublished":"2021-11-22T16:07:38+00:00","dateModified":"2021-11-22T16:07:38+00:00","author":{"@id":"https:\/\/precoinnews.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a"},"breadcrumb":{"@id":"https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/precoinnews.com\/business\/us-and-china-move-to-cool-oil-prices\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/precoinnews.com\/"},{"@type":"ListItem","position":2,"name":"Business","item":"https:\/\/precoinnews.com\/category\/business\/"},{"@type":"ListItem","position":3,"name":"US and China move to cool oil prices"}]},{"@type":"WebSite","@id":"https:\/\/precoinnews.com\/#website","url":"https:\/\/precoinnews.com\/","name":"Pre Coin News","description":"precoinnews.com","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/precoinnews.com\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/precoinnews.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a","name":"mediabest","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/precoinnews.com\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/f5f13cb3b94fc348d515c0951f6ca073?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/f5f13cb3b94fc348d515c0951f6ca073?s=96&d=mm&r=g","caption":"mediabest"}}]}},"_links":{"self":[{"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/posts\/145396"}],"collection":[{"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/comments?post=145396"}],"version-history":[{"count":0,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/posts\/145396\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/media\/145395"}],"wp:attachment":[{"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/media?parent=145396"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/categories?post=145396"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/precoinnews.com\/wp-json\/wp\/v2\/tags?post=145396"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}