Chinese political rhetoric and expression has always been considered a weathervane of the future policy caliber, and more so for the ever-changing monetary policy under an intensifying pressure of weak currency and escalating trade war with the U.S.

China’s central bank released the monetary policy execution report for the third quarter last Friday, where found expression inconsistent with those in the version of last period, in hope to stabilize the market.

Chinese yuan closed at a new month low to break the 6.97 per dollar level on Monday despite the PBOC’s rhetoric reversion, which may cement the government’s intention for further stabilizers.

The Q3 report did not mention any more to reinforce the market force on yuan’s exchange rate, but stressed to “strengthen the macroprudential management when necessary” in order to protect the weakening currency, as the yuan has been since this September at the brink of hitting 7 per dollar, a closely watched threshold that could trigger further selling.

PBOC has removed the requirement “to closely monitor and control the money supply and not to resort to strong stimulus that would have an economy-wide impact” from the Q3 report compared with the previous version.

China’s deleverage campaign has been suspended, as the escalating trade conflicts and tariff war have hurt many of its companies, especially those more vulnerable private-owned entities. The tighten credits also trapped many local governments who were the major Chinese debtors in the market and boosted up default crisis.

The central bank cut the deposit reserve ratio targeted on certain banks and financial institutes in July and October, doubled with other credit easing policies including the medium-term lending facility, in an effort to help the financing of small- and tiny-sized enterprises.

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