interestrateripoff Posted October 27, 2016 Share Posted October 27, 2016 China's slowing industrial profits show rising debt hampering economy BEIJING Profit growth in China's industrial firms slowed sharply as some key manufacturing sectors stumbled on weak activity and rising debt, suggesting the world's second-biggest economy remains underpowered despite emerging signs of stability. China testing scheme to gauge shadow banking risk - newspaper SHANGHAI China is still testing a scheme to include off-balance sheet financing in assessing the health of commercial banks before rolling it out more widely, an influential newspaper quoted the central bank's top economist as saying. Quote Link to comment Share on other sites More sharing options...
mathschoc Posted October 27, 2016 Share Posted October 27, 2016 China Kaput=Europe Kaput = UK Stuffed Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted October 30, 2016 Share Posted October 30, 2016 "China's Debt Has Grown $4.5 Trillion In Past 12 Months, More Than The US, Japan And Europe Combined" "Debt in China has grown by US$4.5 trillion over the past 12 months, by far the highest amount of debt creation globally as compared to US$2.2 trillion in the US, US$870 billion in Japan and US$550 billion in the euro area. Indeed, China on its own has added more debt than the US, Japan and the euro area combined." Debt is wealth and GDP growth. What could possible go wrong in a country that hasn't had a recession for nearly 40 years.... Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted October 30, 2016 Share Posted October 30, 2016 Less than 60 percent of China's public-private projects have started BEIJING Work has started on less than 60 percent of public-private partnership (PPP) projects promoted by China's central finance ministry, while the rate for local government projects is even lower, government data through the end of September shows. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted October 31, 2016 Share Posted October 31, 2016 Two of China's Big Five banks consider new debt-for-equity swap units BEIJING Two of China's largest state banks are considering setting up new companies for the purpose of handling debt-to-equity swaps, officials at the two lenders said, in the latest steps taken to mitigate the heavy debt burden that has put a strain on corporate earnings. Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted October 31, 2016 Share Posted October 31, 2016 3 hours ago, interestrateripoff said: Two of China's Big Five banks consider new debt-for-equity swap units BEIJING Two of China's largest state banks are considering setting up new companies for the purpose of handling debt-to-equity swaps, officials at the two lenders said, in the latest steps taken to mitigate the heavy debt burden that has put a strain on corporate earnings. Its like listening to the euro/UK/us central bankers... I smell a rat Quote Link to comment Share on other sites More sharing options...
Toast Posted November 1, 2016 Share Posted November 1, 2016 9 hours ago, interestrateripoff said: Two of China's Big Five banks consider new debt-for-equity swap units BEIJING Two of China's largest state banks are considering setting up new companies for the purpose of handling debt-to-equity swaps, officials at the two lenders said, in the latest steps taken to mitigate the heavy debt burden that has put a strain on corporate earnings. Debt-for-equity is a form of default. I think the interesting question is: "who owns the debt of these companies that have got themselves too deep in hock to ever repay?". I'm guessing that ultimately a lot of the debt is owned by big, state-controlled banks, in which case this scheme eventually pans out as mass-nationalization (presumably with some heavy losses for retail investors/gamblers along the way). Is there someone here with some stats? Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 1, 2016 Share Posted November 1, 2016 China's debt risks 'controllable' but challenges remain - vice finance minister SHANGHAI The risks from debt in China are "totally controllable" but there are challenges that must be given serious consideration, such as the accelerating growth of corporate debt, state news agency Xinhua quoted Vice Finance Minister Zhu Guangyao as saying. Quote Link to comment Share on other sites More sharing options...
billybong Posted November 1, 2016 Share Posted November 1, 2016 On 10/30/2016 at 8:39 PM, interestrateripoff said: "China's Debt Has Grown $4.5 Trillion In Past 12 Months, More Than The US, Japan And Europe Combined" "Debt in China has grown by US$4.5 trillion over the past 12 months, by far the highest amount of debt creation globally as compared to US$2.2 trillion in the US, US$870 billion in Japan and US$550 billion in the euro area. Indeed, China on its own has added more debt than the US, Japan and the euro area combined." Debt is wealth and GDP growth. What could possible go wrong in a country that hasn't had a recession for nearly 40 years.... Chinese GDP is about $10 trillion so the debt to GDP ratio must be increasing by about 40% a year. Soon the debt to GDP ratio will be over 400%. Thank goodness it's all sustainable. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 2, 2016 Share Posted November 2, 2016 China debt risks stoke internal debate over lowering 2017 growth goal BEIJING China's growing debt and property risks have touched off an internal debate over whether China should tolerate growth as low as 6 percent in 2017 to allow more room for painful reforms aimed at reducing industrial overcapacity and indebtedness. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 2, 2016 Share Posted November 2, 2016 China trade will face relatively large downward pressure in fourth-quarter - commerce ministry BEIJING China will face relatively large downward pressure on foreign trade in the fourth quarter, with uncertainties continuing into 2017, the commerce ministry said on Wednesday. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 4, 2016 Share Posted November 4, 2016 China actively pushing forward property tax reform - finance minister BEIJING China is actively pushing forward reforms on property taxes as it overhauls its fiscal system, Finance Minister Lou Jiwei said in written comments at a forum on fiscal policy in Beijing on Friday. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 4, 2016 Share Posted November 4, 2016 China to meet 'reasonable' local government financing needs BEIJING While curbing illegal fund-raising and guarantees by local governments, the "front door" will be opened to help them meet "reasonable" funding requirements to support local economic growth, the Finance Ministry said on Friday. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 8, 2016 Share Posted November 8, 2016 China central bank to keep liquidity ample, curb asset bubbles BEIJING China's central bank said on Tuesday that it will maintain ample liquidity in the country's financial system while taking steps to prevent asset bubbles in an increasingly leveraged economy. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 11, 2016 Share Posted November 11, 2016 China's household debt a growing risk to economy SHANGHAI Single-mother Li Ying helps explain why household debt in China may be a bigger risk to the giant economy than previously thought. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 11, 2016 Share Posted November 11, 2016 China says may relax foreign ownership controls on financial firms - statement HONG KONG China may allow foreign investors to hold controlling stakes in mainland securities, fund management and insurance companies, the Chinese and British governments said, underlining Beijing's commitment to opening up the mainland capital markets. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 11, 2016 Share Posted November 11, 2016 China meets 2016 target for steel capacity cuts - state planner BEIJING China has come in ahead of schedule in its target of cutting 45 million tonnes of steel capacity in 2016, reaching the goal before the end of October, the country's state economic planner said on Friday. Quote Link to comment Share on other sites More sharing options...
Digsby Posted November 11, 2016 Share Posted November 11, 2016 1 hour ago, interestrateripoff said: China meets 2016 target for steel capacity cuts - state planner BEIJING China has come in ahead of schedule in its target of cutting 45 million tonnes of steel capacity in 2016, reaching the goal before the end of October, the country's state economic planner said on Friday. It's ahead a schedule for what? Cutting capacity? Like as in producing less? Its ahead of the schedule for doing less? Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 15, 2016 Share Posted November 15, 2016 China's overheated Shenzhen and Wuhan step up curbs on home purchases BEIJING China's Shenzhen and Wuhan stepped up measures to rein in a red-hot housing market with fresh curbs on borrowings and purchasing of multiple homes, extending nationwide efforts by policymakers to cool prices and reduce the risk of a market crash. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 15, 2016 Share Posted November 15, 2016 China issues contingency guidelines for managing local government debt woes BEIJING China's State Council on Monday published rules on contingency guidelines for managing local government debt problems, as part of measures to resolve fiscal and financial risks and maintain economic safety and social stability. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 15, 2016 Share Posted November 15, 2016 China: Trump's First Crisis? There is a growing possibility that China will be at the epicentre of President-elect Trump’s first crisis, triggered by concerns over the potential impact of protectionist measures on China’s trade surplus, which currently supports the increasingly fragile financing chains supporting corporate debt that the IMF estimates at around 155% of GDP. Quote Link to comment Share on other sites More sharing options...
Toast Posted November 27, 2016 Share Posted November 27, 2016 (Reuters) Chinese central banker says yuan still a strong currency ... should stabilize Summary: Yuan has fallen 6% against the dollar (2% since Trump's election), but has been fairly stable against a basket of currencies. Chinese foreign reserves are at their lowest since March 2011. Suspected to be due to defending the yuan. Not an earth-shattering story, but this thread deserves to be kept in view, and giving it a bump on Sundays seems to have become a bit of a tradition! Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 27, 2016 Share Posted November 27, 2016 China Property frenzy and surging debt raises red flag for economy Quote Link to comment Share on other sites More sharing options...
darkmarket Posted November 29, 2016 Share Posted November 29, 2016 "Getting Chinese to Buy Your House Isn't Easy Anymore. Just Ask Cate Blanchett. Australian actress Cate Blanchett wanted to sell her home on Sydney’s waterfront. The buyer who wanted it was from China. The trouble started right there. Getting the money out of China proved impossible. The A$20 million ($14.9 million) price tag was far in excess of the $50,000 limit on what Chinese are allowed to convert each year due to capital controls. ...Chinese banks have been told to tighten loopholes that allow individuals to evade capital controls, and police have started arresting people in a campaign to prevent cash finding its way out. Authorities have also banned friends or relatives from grouping together currency quotas, curbed the cross-border activities of underground banks and asked lenders to reduce foreign-exchange sales." http://www.bloomberg.com/news/articles/2016-11-28/cate-blanchett-s-sydney-home-hitch-shows-china-s-money-flow-fear Could have posted this in the Australia thread too, because the problems with mortgages are specific to that market. The capital controls should affect all markets though, and if they lead to more elaborate techniques of getting CNY out that could take some pressure off housing bubbles at least. Monthly USDCNY does show some signs of stabilising, though whether that will hold... https://www.bloomberg.com/quote/USDCNY:CUR Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted November 29, 2016 Share Posted November 29, 2016 (edited) 25 minutes ago, darkmarket said: "Getting Chinese to Buy Your House Isn't Easy Anymore. Just Ask Cate Blanchett. Australian actress Cate Blanchett wanted to sell her home on Sydney’s waterfront. The buyer who wanted it was from China. The trouble started right there. Getting the money out of China proved impossible. The A$20 million ($14.9 million) price tag was far in excess of the $50,000 limit on what Chinese are allowed to convert each year due to capital controls. ...Chinese banks have been told to tighten loopholes that allow individuals to evade capital controls, and police have started arresting people in a campaign to prevent cash finding its way out. Authorities have also banned friends or relatives from grouping together currency quotas, curbed the cross-border activities of underground banks and asked lenders to reduce foreign-exchange sales." http://www.bloomberg.com/news/articles/2016-11-28/cate-blanchett-s-sydney-home-hitch-shows-china-s-money-flow-fear Could have posted this in the Australia thread too, because the problems with mortgages are specific to that market. The capital controls should affect all markets though, and if they lead to more elaborate techniques of getting CNY out that could take some pressure off housing bubbles at least. Monthly USDCNY does show some signs of stabilising, though whether that will hold... https://www.bloomberg.com/quote/USDCNY:CUR Has Fungus completed yet ? Great news for the London property bubble ( collapse ) though Edited November 29, 2016 by TheCountOfNowhere Quote Link to comment Share on other sites More sharing options...
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