Xi Jinping saw his shadow… and Chinese stocks may have six more weeks of winter. China’s tech giants posted their slowest growth ever in August as Beijing’s zero-Covid policy raised costs and hurt demand (because: more lockdowns). Chinese stocks popped this month on reopening rumors. But as Covid cases surged last week hawkish President Xi said he planned to “hold fast” to the strict policy (though he relaxed some rules on Friday). We’ll see how wounded giants Alibaba, JD.com, and Tencent Music are faring when they report this week.
Jingle bells in November… Retailers are getting into the holiday spirit early. Walmart’s sales jumped 8% last quarter, but profits were squeezed as inflation-fatigued shoppers avoided big-ticket items like TVs. Target’s profits fell 90% as it offered steeper discounts on overstocked goods. Still, holiday sales are expected to rise from last year, and retailers are already setting up festive displays to hype demand. But an unmerry combo of discounts and high costs could keep Walmart and Target from wowing investors when they report this week.