The market has different interpretations towards this year's first quarter monetary policy report that published by the central bank. The central bank has clearly identified the next phase of policy orientation whereby focuses on counter-cyclical fine-tuning rather that introducing large-scale stimulus especially short term stimulus. ANBOUND research team believes that in the long term, China needs to promote mid and long-term reforms and enhance the efficiency of economic performance. The market expects an overall easing policy but it will be difficult to materialized unless the economic growth falls sharply.