global investors are locked in a debate over whether china’s pledges to support its slowing economy will finally revive animal spirits in the market or fall flat after a fleeting rebound in the more optimistic camp analysts and money managers see the statement from the politburo as more powerful with its recognition of key market concerns including the troubled housing sector but a lack of clear policy actions to repair the economy’s challenges and deeprooted market pessimism would make a meaningful rebound hard to come by the skeptics say initial market reactions suggest optimism outweighs with chinese stocks rallying and the yuan strengthening on tuesday read china’s markets throw off gloom for now as xi offers lifeline while beijing fell short of announcing largescale stimulus it signaled more support for the troubled real estate sector alongside pledges to boost consumption and resolve local government debt issues here’s what analysts and money managers are saying   “markets have been disappointed as they anticipated more rapid improvement but they are now beginning to rationalize their growth expectations our view is that this somewhat unexciting period will eventually give way to a more positive market tone”   “the introduction of further shortterm measures should stabilize the employment market and underpin consumer confidence however international investors are also looking for policy makers to clarify their longerterm policy framework in areas such as demographic and structural housing issues”   “some of this uncertainty could be cleared up in the next few weeks which would also help investor confidence”   “what stood out to me was they said targeted but ‘powerful’ measures can be expected so far i’ve only heard of ‘modest’ policy stimulus from the government so the choice of wording is interesting”   market will probably be rangebound until first policy announcement   “let’s see how powerful it is that will determine the market direction in coming months what i like though is that they are beginning to understand they need to resuscitate real estate”   “china is underowned and there’s low expectation on government policy moves we think there’s a need to reallocate to china stocks from the us and other group of seven markets following the politburo statements”   “overall we believe that the statement exceeds investors’ expectations the reaction in the fx market has so far been muted following the statement but we believe that the market would react more positively in the next few daysweeks”   “it effectively gives the green light for the state council to provide more easing measures in the next few weeks we believe that bad news going forward could be good news for the market”   “we have seen this movie before the latest policy signal from the politburo is not surprising considering the creditliquidity crunch chinese property companies are currently facing the government knows the size of the property problem is way too big for them to bail everyone out”   “with banks already laden with previous bad loans public debtgdp surging to record high the government’s ability to put together a largescale bailout is very limited in other words we expect china to only do enough to stem widespread risk contagion but not much more overall the new policy is not significant enough to serve as a catalyst for a new bull market”   “it’s becoming more obvious that these longerterm measures have to be accompanied with the shortterm measures in terms of the policy measures these are still early days it will be difficult in our view to see turnaround in the policy direction for longerterm priorities but there is scope for policies to surprise to upside given how low expectations are”   “measures announced won’t be able to turn around the structural issues in the economy will need to see if the improvement in the sentiment will be followed by policy actions in the coming days or months”   “i definitely think there’s too much pessimism priced in but i also think that the bar for markets to turn pessimism around is higher than what the politburo was able to deliver”   expectations by foreigners into the politburo event have invariably remained high as they hoped for a big commodityled stimulus the measures “looks basically like a restatement of the stream of policy easing measures that have been announced in recent weeks”