With focus of the world’s mainstream media and their political and intellectual cohorts almost exclusively being on Covid or climate, its not surprising that news like this flies well under the radar.
Is it 2008 in the Chinese property market? Will the rot spread, given the deep ties between the Chinese economy and the rest of the world?
The relentless contagion inside China’s property sector pushed the country’s dollar high-yield bonds to fall for a ninth straight day Tuesday after tumbling nearly 9 cents on the dollar in October, closing out the worst two-month slide in a decade. The average yield in the dollar junk bond index touched a record 21.5% on Tuesday, surpassing even the Sept 2011 repo crisis highs.
Don’t laugh too loud. Red China will make damn sure that whatever is technically feasible and will keep the Party in power will be made financially possible—at any cost.
Fascism with Chinese characteristics will find work for young men ruined by global finance, just as fascism with German characteristics did.
And this time the Russians won’t be inclined to do more than sit back and watch the globalists finally reap what they sowed in 1917.
I live within walking distance of Parliament Hill. When the bomb is dropped on Ottawa I don’t expect to feel a thing. Bring it on.
Don’t feel too bad.
All the ‘bombs’ aimed at Ottawa are not aimed at parliament.
Everybody in the world knows nothing gets done there.
All the ‘bombs’ are aimed a ways south.
But the splash will wipe you away just the same.
I remember 21.5% 30 year Convential Mortgages in the US during the Carter Years, and 22% Four Year New Car Loans.
My Father had a Real Estate License. He earned a living doing everything but selling real estate.
Maybe I will see them again 45 years later?
rd
I remember them there days as well…but you could buy a house for 25-30K..maybe not a 2500 sq ft 4 bedroom w/ bonus rm – 2/3 car garage monster…but a house just the same.
1972: 22% interest $25,000 home
2021: .95% interest $550,000 home
Yea….I shoulda bought those McDonalds Stock when offered at 17. But one needed to buy in 1000 share blocks
@ $.50/share…. Wilst making $ .50/hr….?? was never gonna happen.
Steakman…..1970, new house, new wife, house $14,500, mortgage rate 8.25%. Wife was worth every penny.
One apartment building and one more new house by 1980 and the mortgage rates were at19.5%. I sold and never bought again until 1986 when the rates returned to a more sensible 12%.
I get that their property market is all gambling and crap, no surprise here, but will it impact my life?
The bailout and refinancing of the chinese property market will drive up interest rates here as they have less money to buy up foreign bonds. What is left of our economy will spiral downwards with a couple percent rise in rates.
Oh. That sucks.
hmmm.
kinda like communism gets a BIIIIIIIGGGGG helping of the downside of the reviled capitalism.
apparently edicts from on high dont cut it with the ruthlessness of an open market.