Beijing wanted to cool its housing market, but created a bigger problem, as the fallout from debt-laden developers and sinking sales spreads to the broader economy.
A model Chinese property developer in a sector replete with risk takers is teetering on the edge of default. Short of cash, one of China’s biggest asset managers has missed payments to investors. And billions of dollars have flowed out of the country’s stock markets.
In China, August has been a dizzying ride.
What started three years ago as a crackdown on risky business behavior by home builders, and then an ensuing housing slowdown, has spiraled rapidly this month. The broader economy has been threatened, and the confidence of consumers, businesses and investors undermined. So far, China’s typically hands-on policymakers have done little to ease anxieties and seem determined to reduce the country’s economic reliance on real estate.
News about China is always feast or famine.
On Monday they own all batteries world wide, Tuesday it’s economic apocalypse, Wednesday global domination.
There have been concerns of a real estate crash in China for several years, with different problems than the potential real estate crash that could happen here in the United States.
That being said, China “on the edge” is certainly a title meant to get you to click on the link. Economies wax and wane, after all.
Holy shit, now that you mention it, china news is all fascist propaganda.
china news is all fascist propaganda.
China is spending at least ten billion a year pushing Pro China Propaganda.
Want to see something fascinating from back in 2020 that you probably didn’t hear about?
