The live chats on Bloomberg and X are increasing filled with ‘liquidity-talk’. Suddenly, many seem to have realized that China’s mighty People’s Bank (PBoC) is finally easing via QE policies, and that US liquidity isn’t so bad after all. Clearly, this matters. Money moves markets.

Evidence the data below showing Chinese liquidity injections by the PBoC through its open market operations. Looking through the often seasonal swings in liquidity provision, Chinese policy makers have ploughed in a whopping RMB10 trillion (circa US$1½ trillion in seasonally-adjusted terms) over the past six months. Recall, whereas the US Fed has most influence over World financial markets, the PBoC greatly influences World commodity prices, because of China’s large economic footprint.