How Evergrande Became Too Big To Fail And Why Beijing Will Have To Bail It Out
While the world is obsessing with the fate of Evergrande, and more importantly when, or if, Beijing will bail it out, another just as interesting question is how did the company many call "China's Lehman" get to the point of no return and become a global systematic risk. For a fascinating look into how we…
Unusually for Australian dollar trade, it is down sharply in Asia today as CNH falls: The yuan has been remarkably resilient as Chinese prospects have dimmed. It has been some whacko tail-end blowoff of the Fed’s free money flows. It’s not going to last as the PBoC shifts to RRR and rate cuts in due
The post Australian dollar sinks as Evergrande drives greenback rally appeared first…
Obviously not. Unless you work at Goldman: In recent months, the Chinese government has embarked upon a regulatory tightening cycle unprecedented in terms of its duration, intensity, and scope. Regulations targeting specific sectors, including internet platforms, education and property markets, have wiped out more than $1tn of market cap from Chinese equities since their recent
The post Is China…
"Many People Will Be Arrested" - Evergrande Lured Retail Investors Into Billions Of "Wealth Management Products" With Gucci Bags, Dyson Air Purifiers
In our post detailing how Evergrande became a "too big to fail" anchor of China's shadow banking system, we noted that a key missing piece in the company's funding was selling wealth management products - i.e., unregulated "shadow…
Enraged Evergrande Investors Go Full Pitchfork, Hold Management Hostage In Company Offices
As the collapse of Evergrande reverberates throughout the Chinese economy, pissed off retail investors have gone from storming the company's headquarters to taking management hostage, according to the Straits Times, citing posts 'making the rounds' on social media.
What we know so far: over 70…
EU Digital Policy Chief Vestager Says Eurozone Can't Rely On A Few "Very Big" Chip Suppliers To Alleviate Global Shortage
The EU’s digital policy chief, Margrethe Vestager, has officially warned that countries should not be relying on just a "handful of very big" chip producers to help alleviate the global chip shortage.
Instead, European leaders have called for more investment -…
Macau Casino Stocks Tumble As Beijing Launches Crackdown On World's Biggest Gambling Hub
Beijing's crackdown on various elements of society continued on Wednesday with Chinese officials targeting Macau, the quasi-independent gambling hub and Chinese territory, in a new crackdown on gambling oversight, which sent shares of Macau-focused gambling companies, like those owned by Wynn…
Asia's Largest Insurer Hammered As Investors Sell First, Don't Bother To Ask Questions
Few were surprised to see that the crash in Evergrande dragged down property names (one among then, Sinic Holdings, crashed 87% in minutes and was halted), banks exposed to the property developer (according to report there are over 120), with the contagion spreading to commodities directly linked…
Six Evergrande Execs Face 'Severe Punishment' Over Early Redemptions For Themselves
Six senior Evergrande executives are facing "severe punishment" for securing early redemptions for themselves on investment products which the imploding Chinese real estate giant told retail investors they couldn't repay on time.
According to the Financial Times, over 40 group executives had…
From AFP via the Asia Times, Sept. 20:Fortunes wiped over fears that one of China's biggest developers will default on interest payments this week The boss of a Shanghai-based property developer lost more than a
billion dollars Monday, as fears over the potential collapse of Chinese
real estate giant Evergrande sent panic across Hong Kong trading floors.
Zhang Yuanlin, chairman of Sinic
TikTok Restricts Screen Time To Just 40 Minutes Per Day For Chinese Youths
Another day, another Chinese crackdown targeting permissible online screen time for young Chinese users. This time, ByteDance, the maker of short-video mobile juggernaut TikTok, said that it would restrict access to Douyin, the Chinese version of the app, to 40 minutes a day for users under 14 years old.…
'Nothing Lasts Forever' - The Threat To Apple Is Three-Fold
Authored by Bill Blain via MorningPorridge.com,
“The light that burns twice as bright burns half as long – and you have burned so very, very brightly..”
Highlight event today is Apple launching new bright-shiny-things. Apple is unique – it has a monopoly of being Apple! For how long?
Back in the real world…. Apple is…
Endgame Begins: Evergrande Hires Bankruptcy Advisors As Furious Investors Protest Imminent Default
It took Evergrande less than a day to go from denying "rumors" of bankruptcy (as per a statement posted on its website earlier today), to confirming that a bankruptcy is imminent.
In a filing on the Hong Kong stock exchange on Tuesday, Evergrande which was busy trying to convince angry…
Evergrande Denies Rumors Of Bankruptcy As Crisis Boils Over, Social Unrest Breaks Out Across China
China Evergrande Group, the largest and most indebted, and certainly most insolvent property developer in China, is - together with its $300+ billion in debt - rapidly approaching its "China moment."
Five days after reports of a technical default at Evergrande, which slammed China's…
Walgreen's COVID Test Website Might Have Exposed Patient Data, Security Experts Say
Anyone who got a COVID-19 test at Walgreens might have had personal data left online, including their name, date of birth, phone number, address, and email. In some cases, the results of the COVID tests were left on the open web for anyone to see, according to a new report by Recode.
From AFP via France 24, September 15:Macau casino stocks collapsed on Wednesday, as officials unveiled
plans for a crackdown on the gambling industry in the city known as
China's Las Vegas.Hong Kong-listed operators Sands China and Wynn
Macau both suffered over 24 percent drops, while Melco Entertainment,
SJM Holdings, MGM China and Galaxy Entertainment fell between 13 percent
to 17 percent.
Today Mr. Chandler uses a before-and-after of Shanghai as his graphic. Just amazing. From Marc to Market:Overview: The sixth decline of the S&P 500 in the past seven sessions set a negative tone for equity trading in the Asia Pacific region, and the poor Chinese data did not help matters. News that China's troubled Evergrande would miss next week's interest payment weighed on sentiment too.
Can Deep-Sea Mining Solve The Battery Metals Supply Crisis?
Authored by Tsvetana Paraskova via OilPrice.com,
The key metals necessary to advance the global energy transition will likely drive the next commodity supercycle.
Soaring demand for lithium, copper, nickel, cobalt, and aluminum could lead to a battery metal supply crunch as early as this decade, while surging prices could…
Forget 5G, China Leads The 6G Charge
While the world is still very much in the transition phase with 5G, research is already well underway for the next iteration of the technology standard for mobile broadband networks - 6G.
Statista's Martin Armstrong notes that, according to a whitepaper by Samsung it takes an average of ten years for a new standard to become ready for…