- The Chinese economy is already slowing down, its stock market is crashing, its currency sinking and authorities are cracking down on leverage.
- And on top of that the US has imposed tariffs on some Chinese exports and is threatening to greatly escalate this program.
- Given the capital flight and the stock market crash, one is inclined to think investors are running for cover.
- But there is actually quite a bit the Chinese authorities can do to soften any impact, and it looks like they are already doing at least one of these things.
Source: Crisis In China? | Seeking Alpha