How China’s Economic Shock Therapy is Shaking Up Commodities

  • Leader signals more supply reforms at start of party congress
  • Market reaction muted as China seen keeping to cut program
Photographer: Nicolo Filippo Rosso/Bloomberg
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China’s President Xi Jinping said the world’s biggest producer and consumer of almost all commodities will deepen supply-side reforms and stick to the capacity cuts that have shaken up global raw materials markets.

China’s economy has shifted to a period where high quality is sought, moving away from its fast-growth era, Xi said during his opening remarks at the twice-a-decade National Congress of the Communist Party of China in Beijing. China will continue with its plan to deleverage and cut capacity, Xi said.