China's central bank has injected ¥1.85 trillion ($260 billion) into the financial system this week to stimulate its economy. This significant liquidity boost, executed through reverse repurchase agreements and medium-term lending facilities, aims to enhance market stability and encourage lending to businesses and consumers. The move addresses challenges such as a weak property sector and deflation concerns, signaling the People's Bank of China's commitment to supporting growth and restoring investor confidence. The liquidity injection has sparked optimism in both domestic and global markets. As China plays a crucial role in international trade, its monetary actions often influence global market sentiment, including stocks, commodities, and cryptocurrencies. The increased liquidity is expected to improve risk appetite and potentially drive demand for risk assets, benefiting global investors.