Category: Bank run

South Korean jitters may make matters worse in China

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After the globally coordinated rescue package was announced Monday the Chinese stock markets boomed in sympathy with the rest of the world, with the SSE Composite closing up 3.6% for the day.  Tuesday the SSE Composite shot up 3.5% within minutes of opening, but the party was already over in China.  Over the rest of …

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Holiday thoughts on misunderstanding data

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We’re starting the holiday week – October 1 is the anniversary of the 1949 revolution – so markets were closed today and will be closed for the rest of the week, and there’s a pretty good chance not a whole lot will happen on the policy front until the end of the holiday schedule.  Much …

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Worrying about the banking system

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While Monday’s stock market, led by the banks, continued Friday’s big bounce back, rising 7.8% to add to Friday’s 9.5% surge, leaving us at a 2-week high (largely on buyback talk, I think), worries about the banking sector actually seemed to be deepening.  Today, perhaps in response, the stock market was a lot more confused, …

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Cap on bank deposit withdrawals in Shenzhen

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Finally we have a piece of somewhat good news.  Industrial production was up only 17.9% year on year in October, down substantially from September’s 18.9% year-on-year rise.  Not only is this well below last month’s number, it is also well below expectations, which were for an 18.3-18.5% rise.   But we shouldn’t get too excited …

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