Chinese stocks got a much-needed shot in the arm Tuesday, gaining the most in two months amid signs the government is willing to ease its tightening campaign to avoid an overly sharp economic slowdown.
The rally followed a meeting where policy makers mentioned the need to boost domestic demand for the first time since 2015, and dropped a reference to deleveraging. Government bonds, which had been advancing at the fastest pace since 2008, declined.
That was a change for China’s equity investors. Only days ago, a $1 trillion rout had left banks and other onshore giants flirting with a bear market, while

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