Welcome to the first day of the 三伏天, the dog days of summer. It certainly feels like it here in DC.

Two big things are on my radar today:

• There has been a remarkable public airing of a debate between officials of the PBoC and the Ministry of Finance. It appears that the growing economic stress is also pressuring Liu He and the finance and economic bureaucracies over which he presides. Policy disagreements are not necessarily unhealthy but this kind of public airing may point to some continued underlying dysfunction;

• Based on further conversations and work I am more convinced that the recent round of "Xi is in trouble" rumors are BS. I of course could be wrong, but I would not recommend making any policy decisions based on the latest spate of rumors, especially as head into Beidaihe season. Xi leaves for Africa and the Middle East July 24 for a five day trip. If he is willing to leave the country in a week he is probably not feeling too insecure. If he changes that schedule then maybe som…