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China’s Stocks ‘Due for Rally,’ JPMorgan Asset’s Economos Says

China’s stocks are poised to rally as the People’s Bank of China may cut reserve-requirement ratios to boost economic growth, Andrew Economos, head of sovereign and institutional strategy Asia ex-Japan at JPMorgan Asset Management in Hong Kong, said in a Bloomberg Television interview.

“China is probably due for a rally here as the PBOC begins to understand the extent of the problems globally and internally with the property market,” Economos said. “I think we will start to see easing in terms of reserve-requirement ratio cuts as well as reverse repo, basically to flood the market with capital. That’s going to be good news for equities in China.”

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