Xi Jinping’s intensified control over the People’s Liberation Army through repeated high-level purges, including the recent expulsion of Central Military Commission figures Zhang Youxia and Liu Zhenli on corruption and factionalism charges, underpins the market’s strong consensus against any coup attempt before 2027. These actions, paired with directives emphasizing risk prevention and the “Peaceful China Initiative” ahead of the 2027 Party Congress, demonstrate the party’s capacity to neutralize potential internal challenges. Traders price in this institutional dominance and the absence of credible factional opposition or public instability signals. Even so, low-probability disruptions such as abrupt leadership health events or major external shocks could still test the system before year-end.