Two Analysts Question China And Their Economic Reports For Differing Reasons

As is often the case, trading short term market stability can result in a negatively correlated long term outcome. When it comes to Chinese market dynamics and debt “this means the need for near-term stability is taking preference over the desire for long-term sustainability,” an HSBC report, benchmarking the “new normal,” observed.  Overlay these economic thoughts against an October 19 Capital Economics report that addressed credibility regarding Chinese economic data, which reported steady GDP figures across a turbulent year, and one has a combustible long term environment papered over with short-term volatility repressing measures. HSBC: The new normal in China…