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(ICYMI) China new loans beat expectations

We had data out over the weekend from China: Industrial production

and also S olid China retail sales report

Prior to this data, out in the afternoon in China on Friday, November lending data (& money supply). I can't see it on the site, so I'm popping it up now

November new yuan loans, 708.9bn yuan

  • expected is 735.0bn, prior was 513.36bn (CNY amounts)

Aggregate financing for November, 1020.0bn.

  • expected is 970.0bn, prior was 476.7bn (CNY again)

New Yuan Loans and Aggregate (social) Financing give an idea on credit availability in China. 'Aggregate financing' is the broader of the two measures, and you can see it near doubled from the October figure. The data on Friday showed the new lending was in medium and longer term loans, and less for shadow banking products. This is a better sign for authorities in China, and adds to the signs of stability in China. Not that its all roses there, far from it, but its a positive.

Bloomberg and Reuters have more.

Also, Money supply M0 for November y/y: 3.2%

  • expected is 4.0%, prior was 3.8%

Money supply M1 for November y/y: 15.7%

  • expected is 14.0%, prior was 14.0%

Money supply M2 for November y/y: 13.7%

  • expected is 13.4%, prior was 13.5%

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Meanwhile, capital continues to flow out of China, though estimates are slowing.

  • The Institute of International Finance ( IIF ) tracks emerging market capital flows, it says
  • Q4 is likely to see $150 billion in capital outflow (Q3 was a $225 billion)
  • Based on trade data ( exports continue to decline ), Chinese banks' client transactions, movements in central bank reserves

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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