Archive for June, 2012File not found. Chart: foreign currencies deposits increased sharply in China
Foreign currencies deposits in Chinese banks have risen significantly since the start of the year.Housing excess and denial in euro area persists even after massive correction
Deeper fall in residential investment in Spain looks likely, while the rest of the euro area countries keep building as if nothing has happened.Europe: “Nein! Nein! Nein!” Revisited
The European debt crisis can still be characterised by three big Nos: no ECB backstop, no debt mutualisation, and no breakup, for now.Charts: the weakness of Chinese Yuan
Chinese Yuan is increasingly traded much lower than PBOC fixing rate, suggesting that PBOC wants stable RMB, but the market is doing other things.China is not Europe
Chinese equities have done even worse than European equities despite its economy growing faster and the fact that there is a crisis in Europe.What if China stops buying US Treasuries?
As China’s trade surplus shrinks and capital outflow continues, China will inevitably stop buying US Treasuries, but there’s nothing to be worried about.Peak Oil? Where?
It appears that the world is nowhere near the peak oil, and potential global oil supply growth is set to increase for the coming decade.Killing fiscal union before it’s born
As the European political bubble went best, the politics in Europe is killing the only real solution to the Euro Crisis.Corporate China is short US Dollar
China’s trade sector appears to have sold more USD than needed according to Standard Chartered, effectively building a short USD position.Marking Time, Dollar Softer
The US dollar is softer against most currencies today as month- and quarter-end approaches, while the euro is little changed.Some questions on China’s trade data
EU imports from China fell sharply according to Eurostat, yet China exports to EU was almost flat according to China’s Customs.Steel mills’ profit in China under pressure
Steel mills profits for Jan-Apr 2012 has fallen by 49.5% compared to the same period a year ago, pointing to sharp slowdown in demand.Deutsche Bank: Consumer deleveraging will be completed within two years
Deutsche Bank projects that consumer deleveraging in the US still has about 2 years to go.History lesson: the break-up of monetary unions
Political support is crucial for a currency union, and it is the stronger countries that brought a union to an end according to Standard CharteredThe unknown risks of China’s Trusts
Could the Trust sector be yet another ticking time bomb for the financial system amid already slowing Chinese economy?
Economy. 25 June, 2012, 13:38Debt service ratios by country, according to BIS
When it comes to debt service to income ratios, Australia tops the chart, while Norway, Ireland and China are almost tied in the second spot.George Soros: The coming EU summit is crucial for the future of Euro
George Soros thinks if the the interrelation between banking and sovereign can’t be broken in the coming EU summit, the outcome would be fatal for Euro.Coal inventory in various Chinese ports hit record highs
Coal inventories in Qinhuangdao and Tianjin ports of China are reaching record high, add to the evidence of the sever economic slowdown.Quantitative easing and the (lack of) responses in bond yields
Quantitative easing has done nothing to lower treasury yields. In fact, periods of quantitative easing were associated to rigins bond yields.Indian Rupee is spiralling out of control
Indian Rupee has hit record low against the dollar, but the central banks’ effort to halt the fall has failed to stabilise the situation so far.