Asian Financial Crisis Part 2: China's Debt Bomb

[lx008]

I doubt foreigners can trade those derivatives.

Are there any equivalent derivatives ?

for foreign trading firms, like WOFE and QFII, they could be handy instruments.

 

[schizo]

China is indeed imploding. Their real estate accounts for a big chunk of GDP and nobody is building anything anymore. All while western capital was and is still fleeing China because of the political situation. The 100 million USD question is wheter China will dump their US treasuries and Dollars onto the markets in a attempt to grab liquidity

They might if they decide to invade Taiwan, which is not all that crazy. Countries have always resorted to war when backed up into the corner.

 

[mervyn]

debts are nothing, it can be inflated out or grow out.

moving away from real estate may take sometime, particularly there are limited demands from overseas for its manafactured goods due to the wars.

byd just passed tsla in ev last quarter, corporate earnings function expands but multiples doesn't in their market. retail traders take fast money and leave. and also they are the first generation wealth, not professional managers.

 

[murray t turtle]

China is indeed imploding. Their real estate accounts for a big chunk of GDP and nobody is building anything anymore. All while western capital was and is still fleeing China because of the political situation. The 100 million USD question is whether China will dump their US treasuries and Dollars onto the markets in a attempt to grab liquidity

%%
Good points;
$100 million in that market = nothing burger.
WSJ had a good rebuke on them\ they killed off all the sparrows [grain thieves the chicoms thought] OOPs\ then the grasshoppers multiplied, ate so much grain + so much many millionschicoms starved
But dont think the chicoms are dumb enough to panic sell.
Average USa bull market = 3, 4 years...........................................

 

[engineering]

debts are nothing, it can be inflated out or grow out.

Or it brings down a whole government.
Maybe even launches a war.
Just crack a history book .
https://en.m.wikipedia.org/wiki/List_of_sovereign_debt_crises

China is a net importer of food and oil.
The can print all the money they want but that doesn't mean anyone else will accept it.

Not every country is blessed with the resources the US has.

 

[mervyn]

Or it brings down a whole government.
Maybe even launches a war.
Just crack a history book .
https://en.m.wikipedia.org/wiki/List_of_sovereign_debt_crises

China is a net importer of food and oil.
The can print all the money they want but that doesn't mean anyone else will accept it.

Not every country is blessed with the resources the US has.

they are not a country, they are a civilization. At worst they will change the government but equally anti-us, what the point.

 

[David's faith]

They might if they decide to invade Taiwan, which is not all that crazy. Countries have always resorted to war when backed up into the corner.

I think invading Taiwan will not happen. The threat is to do so us strong enough to influence politics in Taiwan.

 

[maxinger]

I think invading Taiwan will not happen. The threat is to do so us strong enough to influence politics in Taiwan.

When the US is weak or when there is too much world crisis, that is a good time for China to expand.

China will change the dash line from 9 to 11 to ????

 

[nitrene]

The current leader of the CCP is a disaster. He should be summarily fired by the Politburo. He's made one fuck up after another since 2018. No one wants to invest in China anymore except for the greedy America Oligarchs. He has destroyed the capital markets in China and he pissed off all the wealthy Chinese.

Regardless of that China cannot evolve with the CCP in place. It needs a modern government to get to the next level. Just like America went from 2nd world to 1st world from their 1920s government to a more modern government post-FDR regime.

 

[mervyn]

The current leader of the CCP is a disaster. He should be summarily fired by the Politburo. He's made one fuck up after another since 2018. No one wants to invest in China anymore except for the greedy America Oligarchs. He has destroyed the capital markets in China and he pissed off all the wealthy Chinese.

Regardless of that China cannot evolve with the CCP in place. It needs a modern government to get to the next level. Just like America went from 2nd world to 1st world from their 1920s government to a more modern government post-FDR regime.

doesn’t matter what ccp evolves, they are at the same place as soviet/russia, a global competitor in the eye of others. brit and french were in a war for centuries, same thing.

the difference is now they learn how to print money from us to pile money into certain industry to overwhelm certain market. and keeping hot money away.