Hayden Briscoe, director of Asia Pacific Fixed Income at AB, says the rise in funding rates following a rate cut over the weekend could mean that China's policy transition mechanism is broken.» Read More
China’s economy is changing. Indeed, it has to change, as I argued two weeks ago (“How to blow away China’s gathering storm clouds”, 20 March 2012). The good news is the scale of the external rebalancing. The bad news is that this is at the cost of larger internal imbalances.
A contraction in Chinese manufacturing has sparked fears of a hard landing in that country and an overall global slowdown. But that actually could prove a positive for U.S. economic growth.
The next four decades will be full of the unexpected, since we live in an era of particularly rapid change. But Megachange is something to be embraced, not feared. Here's why.
Despite China’s inflation rate hitting a 20-month low in February sparking talk of further monetary easing, some analysts don’t expect Beijing to aggressively boost growth as rising prices are still a threat.
China will unveil a host of new policies aimed at boosting growth in the next few weeks as the country tries to stimulate investment, according to James Kynge, author of the international bestseller "China Shakes the World".
After spending most of 2011 in negative territory, Chinese stocks have the biggest upside potential, according to Cedric Ma, Senior Investment Strategist at Convoy Asset Management.
The next big global financial crisis will emanate from China. That is not a firm prediction. But few countries have avoided crises after financial liberalization and global integration. Would China be different? Only if Chinese policymakers retain their caution, says the FT's Martin Wolf.
The politics of China's need for a smooth leadership succession this year provide the best protection against a hard economic landing, regardless of stuttering exports, faltering capital flows, local government debts and lingering inflation risks.
China should accelerate the loosening of capital controls, its central bank said, in a report outlining the path to a freely tradable currency and more open capital markets. The Financial Times reports.
The Chinese central bank's move to boost economic growth by cutting the reserve requirement ratio (RRR) by 50 basis points over the weekend, for the second time in almost three months, is part of its "fine-tuning" of monetary policy, say analysts who expect more such easing in 2012.
China's central bank warned in its quarterly monetary policy report that the country still needs to be on guard for inflation, but analysts say, further monetary easing is on the cards, which could boost equity markets this year.
China's annual inflation rate accelerated to 4.5 percent in January, well ahead of market expectations and breaking a five-month trend of easing price pressures as consumers ramped up spending during the Chinese Lunar New Year holiday season.
The laws of probability dictate that the longer China delays a widely-expected cut to the required reserve ratio (RRR) for its banks, the more likely it is to come.
After the U.S. and Europe, China's economy is going to be next in line for a major credit crisis and Chinese policymakers must allow a hard landing to "cleanse" the economy, Bill Smead, CEO and Chief Investment Officer at Smead Capital Management told CNBC on Wednesday.
Purchasing managers indexes (PMI) for China and India released in the past week, showed that both economies experienced a rebound in the manufacturing and services sectors in December, but according to a number of analysts, it's too premature to call a turning point for the two countries or the broader Asian region.
The risks from Europe's debt crisis and a global slowdown have left investors in Asia reeling in 2011, but analysts tell CNBC, Asian equities will outperform and push global markets higher in 2012 because of further policy easing and better valuations.
Foreign and domestic distressed debt funds expect a big supply of bad loans to come on to the market in China after at least five years in which banks largely sat on their portfolios of troubled loans. The FT reports.
Friction is rising over Beijing’s real estate policies, with some top Chinese policy advisers arguing that restrictions should be loosened to avoid an abrupt economic slowdown. The Financial Times reports.
The popping of the Chinese real estate bubble has just begun, with the nation likely to experience the types of problems the U.S. has encountered over the past five years, hedge fund titan Jim Chanos told CNBC.
Chinese stocks got a shot in the arm on Thursday with the Hang Seng surging 5.8%. But analysts say whether the rally continues will depend on a number of factors including the central bank's future moves and further reforms.