The market overwhelmingly assumes a continuation of a dollar bull-run. And there are indeed sound reasons for that. However, on closer inspection, the rationale might be less solid than meets the eye, and there is ample room for surprises. China Throws A Wrench In The Dollar Bull Run
Entries Tagged as 'China'
January 18th, 2017 · Comments Off on China Throws A Wrench In The Dollar Bull Run
January 2nd, 2017 · Comments Off on Trump Vs. China, Round One
Since China is considerably more dependent upon the US market, at first sight, it looks like the US is in a strong position versus China to deal with trade frictions. However, there is an obvious way China can hit back on any US-imposed import tariffs, stop defending its currency and let it float. In the […]
December 26th, 2016 · Comments Off on When Will China’s Debt Problem Detonate?
Chinese debt, particularly its corporate debt, has been rising explosively and now stands at unprecedented levels according to basically any metric. The magnitude is such that many expect some kind of crash. While that can’t be excluded, particularities of the Chinese financial system provide some safeguards against that happening. What is more likely is that […]
December 14th, 2016 · Comments Off on China Just Blew Through A Quarter Of Its Foreign Currency Reserves
December 11th, 2016 · Comments Off on China Devaluing Itself Out Of Trouble
November 3rd, 2016 · Comments Off on Is A Chinese Depreciation Still A Threat To Global Markets?
July 10th, 2016 · Comments Off on Dual Risk Out Of China
The largely state-owned industrial sector is plagued by overcapacity, large debt, deflation and declining credit quality. The Chinese authorities have three ways of dealing with this, restructuring, devaluation, or stimulus. They seem to have chosen the path of least resistance; while this is good news in the very short run, it only increases the risks […]
May 13th, 2016 · Comments Off on Kyle Bass Takes On China
May 11th, 2016 · Comments Off on Should China Simply Devalue?
February 7th, 2016 · Comments Off on A Primer On China And The Markets | Seeking Alpha
The turmoil in the markets is, not surprisingly, matched by a wide variety of perspectives. We provide some of the main optimists who argue this is a normal correction. The pessimists think it is something deeper, and the über bears foresee a crash. Those that predict a crash see widespread debt deleveraging and resulting deflation, […]