China is putting $174 billion into the financial markets to prevent financial disruptions related to the coronavirus.
China’s central bank said it will inject 1.2 trillion yuan ($174 billion) worth of liquidity into the markets via reverse repo operations on Monday as its stock markets prepare to reopen amid an outbreak of a new coronavirus.
Chinese authorities will use various monetary policy tools to ensure liquidity remains reasonably ample and to support firms affected by the virus epidemic, which has so far claimed 305 lives.
In 2019, the US Federal reserve had put $234 billion to dampen market volatility and keep the central bank’s overnight funds level. There have been repo market problems.
In 2020, the New York Fed reserve had put nearly $100 billion for repo market intervention.
The Federal Reserve had been trying to reverse the quantitative easing during and after the 2007-2008 financial crisis. Quantitative Easing (QE1, QE2 and QE3) brought the Fed balance sheet to $4.5 trillion vs $700-800 billion in assets at the start of the crisis.
The world economic system is growing but is still fragile. The US and China are the main drivers of growth in the world economy. The US and China are about 40% of overall world economic growth.
Brian Wang is a prolific business-oriented writer of emerging and disruptive technologies. He is known for insightful articles that combine business and technical analysis that catches the attention of the general public and is also useful for those in the industries. He is the sole author and writer of
nextbigfuture.com, the top online science blog. He is also involved in angel investing and raising funds for breakthrough technology startup companies.
He gave the recent keynote presentation at Monte Jade event with a talk entitled the Future for You. He gave an annual update on molecular nanotechnology at Singularity University on nanotechnology, gave a TEDX talk on energy, and advises USC ASTE 527 (advanced space projects program). He has been interviewed for radio, professional organizations. podcasts and corporate events. He was recently interviewed by the radio program Steel on Steel on satellites and high altitude balloons that will track all movement in many parts of the USA.
He fundraises for various high impact technology companies and has worked in computer technology, insurance, healthcare and with corporate finance.
He has substantial familiarity with a broad range of breakthrough technologies like age reversal and antiaging, quantum computers, artificial intelligence, ocean tech, agtech, nuclear fission, advanced nuclear fission, space propulsion, satellites, imaging, molecular nanotechnology, biotechnology, medicine, blockchain, crypto and many other areas.
