PBOC Adviser Liu: Trade war impact on China's economy is not very big

Reuters reports comments from the People’s Bank of China (PBOC) Adviser Liu Shijin, with the key headlines found below.

Trade war impact on China's economy is not very big.

But should watch for impact on stock and currency markets.

The trade war has a relatively big impact on expectations.

That is reflected in recent stock and currency movement.

Monetary policy cannot be so loose that it undermines deleveraging efforts.

Monetary policy needs to provide enough liquidity support for the economy.

It's normal for China's economic growth to slow further.

Monetary policy should react when there is relatively big downward pressure on the economy.