UBS Global Wealth Management has cut its forecast for Chinese equities due to rising concerns over potential US tariffs and a disappointing domestic stimulus-response.

China may embrace greater stimulus, bolster manufacturing, and allow the yuan to weaken to offset the negative effects of a second Trump presidency on the Chinese economy, analysts said.

Swiss money manager cuts mid-2025 and end-2025 targets for MSCI China Index because of tariff uncertainties and disappointing stimulus.

China is ready to go head-to-head with President-elect Donald Trump’s tariffs as he prepares to take back the Oval. If Trump pushes for tariffs as high as 60% on Chinese goods, Beijing isn’t about to sit back.

Trump victory, impact of China tariffs, and Chinese stimulus disappointment on mining stocks and commodity markets.