Michael Pettis: If We Don’t Understand Both Sides of China’s Balance Sheet, We Understand Neither
China is a dynamic and unbalanced economic system entering into something that we might call a “phase shift”, or the rebalancing process.
Read more...Category Archives: China
Why is China finding it hard to fight the markets?
China’s market drama started in June this year with the collapse of the Shanghai stock exchange, followed by frantic interventions by the Chinese authorities. As if the estimated $200 billion already spent on propping up stock prices were not enough, China found itself in another battle with the market, defending the RMB against depreciation pressures after the PBoC devalued the RMB by nearly 2% on August 11. The cost of the foreign exchange intervention to keep the RMB stable is estimated at $200 billion.
Read more...Perry Mehrling: Defending the RMB
It’s hard to short China, but not so hard to short China’s currency, and that’s a problem for the central bank.
Read more...China Sneezes, Europe Catches a Cold
European stock prices, financial contagion and the trade exposure to China. How the turmoil in China’s stock market is affecting European stock markets through Europe’s trade exposure to China
Read more...Michael Hudson: Smoke and Mirrors of Corporate Buybacks Behind the Market Crash
Hudson clearly differentiates what is happening in the Chinese versus the US markets, with emphasis on the role of corporate buybacks here.
Read more...London Capital and the Bryan Cook – Thomas Yi Scam Spree, 2010 to 2015
Yves here. Richard Smith is on the trail of what looks to be his biggest international scam find ever, orders of magnitude larger than the usual below the radar single to low double digit million dollar/pound/euro operation that he has ferreted out in the past. And mind you, even though he focuses on the dubious […]
Read more...Wolf Richter: Foreign “Smart Money” Frets about Turmoil at Home, Flees, Plows into US Housing Bubble 2, Thinks it’s a “Safe Haven”
Lambert: Just what we need; more 1%-ers. And if turmoil in emerging markets keeps up, we’ll have more of ’em, as conditions “at home” sharpen. By Wolf Richter, a San Francisco based executive, entrepreneur, start up specialist, and author, with extensive international work experience. Originally published at Wolf Street. Wealthy, very nervous foreigners yanking their money […]
Read more...Wolf Richter: It Starts – Broad Retaliation Against China in Currency War
Struggling economies that compete with China are going to protect their exports against Chinese encroachment via currency depreciation.
Read more...Power 8, Sponsor of Everton FC, Fulham FC and RCD Espanyol, is a $250Mn Pyramid Fraud
Power 8, Sponsor of Everton FC, Fulham FC and RCD Espanyol, is a $250Mn Pyramid Fraud.
Read more...Turbulence and Stability in Financial Markets: China in Recent Times
China is a case study of how liberalization of financial markets has never contributed to stability.
Read more...Saudi Oil Strategy: Brilliant Or Suicide?
Does it make sense to look at the Saudi strategy within the oil industry alone, or do analysts need to start factoring in deflationary economic policies around the world?
Read more...Wolf Richter: China’s Hard Landing Suddenly Gets a Lot Rougher
Despite the 7% GDP growth published and hotly defended by the Chinese government, it is increasingly clear that the country is beset with a host of immense problems, after a debt-fueled binge of overbuilding and over-stimulating.
Read more...China’s Stock Market Collapse
Those who are looking only at Greece and the crazy behaviour of the European Union may well be looking in the wrong direction to identify the next big crisis as it comes.
Read more...China’s Stock Market Falling Off a Cliff: Why, and Why Care?
What explains the turmoil in Chinese stock markets, and what does it mean for the rest of the world?
Read more...The Previous Sole Superpower: From the Opium Wars to the Origin of the Species
The Opium Wars illustrate the brutal effectiveness of Great Britain’s use of a particular notion of freedom as a means of conquest.
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