(Bloomberg) -- China’s first bank loan contraction in nearly two decades has fanned fears the world’s No. 2 economy is careening toward a “balance sheet...
-- China ’s first bank loan contraction in nearly two decades has fanned fears the world’s No. 2 economy is careening toward a “ balance sheet recession ” as Japan did decades ago.Gottheimer Calls for Rail Riders to Be Reimbursed for Delays
While China’s current situation has clear differences to Japan’s predicament a “balance sheet recession” remains a real risk, said Lynn Song, chief economist for Greater China for ING Bank in Hong Kong. Core inflation, which strips out volatile food and energy costs, rose just 0.4% in July, the least since January. That came after economy-wide prices declined for five straight quarters, in the longest slide since 1999.Data due Thursday is expected to show retail sales remained sluggish, despite a slight improvement thanks to a more favorable base of comparison and the summer holiday season.
The People’s Bank of China has intervened repeatedly with verbal warnings and regulatory action in the government bond market in recent weeks. Policymakers are concerns about a negative feedback loop between falling yields and weakening expectations for the economy. For one, the debt-to-gross domestic product ratio for the household sector has largely flat-lined since the pandemic, while that debt level for the corporate sector — which include state-owned enterprises that are less sensitive to demand shifts — has kept rising.The Plaza Accord, signed by major economies in 1985 to weaken the US dollar, caused the yen to appreciate and shattered Japan’s export competitiveness.
Japan China Chief Economist Balance Sheet Recession Greater China Balance-Sheet Asset Prices Real Estate Prices
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Jobs report stokes fears Fed may have waited too longRising unemployment and slowing job gains are reinforcing concerns among some Fed watchers that the central bank is 'behind the 8-ball.'
Read more »
Bailey’s Silent Treatment Stokes BOE August Rate-Cut Suspense(Bloomberg) -- Two months of silence from Bank of England Governor Andrew Bailey have left anyone guessing the timing of a crucial change in interest rates...
Read more »
Dollar steady on US jobs relief as yen heads for first weekly drop in sixThe Kitco News Team brings you the latest news, videos, analysis and opinions regarding Precious Metals, Crypto, Mining, World Markets and Global Economy.
Read more »
Is Dogecoin’s 16% price drop the first step to a new ATH?Dogecoin [DOGE] investors were having a hard time last week as the memecoin recorded a double-digit decline. However, there may be more...
Read more »
Vietnam Coffee Producer Gets $25 Million Loan From ESG Fund(Bloomberg) -- Coffee and pepper producer Phuc Sinh Corp. will receive a loan of more than $25 million from SAIL Investments’ Netherlands-based &Green Fund. ...
Read more »
York United signs son of former Mexican captain Rafael Marquez on loanTORONTO — York United FC has signed midfielder Santiago Marquez, son of legendary Mexican defender Rafael Marquez, on loan for the remainder of the 2024 season.
Read more »