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China Recovery Hopes Crushed by Record Covid Outbreak as Lockdowns Spread
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SINGAPORE—China’s worst Covid-19 outbreak is squashing hopes for an economic rebound and fanning concern about disruption to the world’s supply chains, heaping more pressure on a global economy that is already losing speed as central banks ratchet up interest rates to beat back inflation.
The record number of new cases and the authorities’ tough response have extinguished hopes that China was inching toward reopening. Those hopes were stoked earlier this month when the government published a 20-point plan to refine some virus controls, such as reducing quarantine periods and easing restrictions on close contacts of confirmed cases.
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