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Opinion
John Authers

Markets Hate Covid Zero So Much, They’ll Believe Anything

Investors are so desperate for good news out of China, a rumor can spike share prices. A change in vaccination policy could be one key to turning hope into reality.

A neighborhood under Covid-19 lockdown in Shanghai.

A neighborhood under Covid-19 lockdown in Shanghai.

Photographer: Qilai Shen/Bloomberg
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Even in China, social media have power to move markets. For dramatic proof, look at Tuesday’s rally in Chinese stocks after unsourced reports surfaced suggesting that the Communist Party was setting up a committee to oversee withdrawal of the “Covid Zero” policy, which this year has meant a succession of economically damaging lockdowns.