Forget The Fed: These Are Wednesday’s Most Important Numbers

First thing Wednesday morning, before the abysmal data deluge hit in the US and before all eyes turned to a certain “diminutive woman with a pixie haircut,” we made you a promise. Specifically, we promised we’d get back to you with more details on what is perhaps the most important data the market got all…

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Before The Fed: China?! “An Illegal Siege” On Qatar! Crude Carnage. Oh, My.

Yeah, so this afternoon the Fed will almost surely hike and folks will be looking for answers to a whole lot of questions. The full preview is available here, but one thing you should note is that traders will be watching CPI and retail sales first and indeed, those prints may end up dictating the…

Tangled Christmas Lights: Why You Should Fear China’s Shadow Banking System

Have you ever tried to untangle a string of Christmas tree lights that you hastily stuffed into a box when you took the tree down the previous year?

“The Shadowiest Corner Of Shadow Banking” – A Sunday Trip To Chinatown

China’s labyrinthine shadow banking complex has been a source of concern for years. It’s always been readily apparent that credit expansion via the country’s network of impossibly convoluted back channels has served to inflate bubbles in all manner of assets by encouraging rampant speculation. It’s also painfully obvious that healthy deleveraging and the purging of…

These 4 Charts Show China Squeezing Its Shadow Banks

There’s still a lot of confusion out there surrounding exactly what’s going on in China. And understandably so. After all, the country has embedded so much risk in its financial system via what SocGen correctly describes as a “mind-boggling” array of shadow credit channels that untangling who’s responsible for what and where all that credit ends…

Pay Attention! We Got China Credit Data Overnight

Ok, so it’s Friday. And before you get too excited about that, remember that all it means is that two days from now it will be Monday. Bummer, right? Well overnight we got the latest read on China TSF and new RMB loans which, at this point, is something you need to watch really – really…

It’s Too Quiet: Except For China. And South Korea. And Collapsing Metals.

It’s Tuesday, and they’re voting in South Korea. There’s an annoying power vacuum over there at a precarious time. Here’s a deliberately deadpan rundown: Turns out the former president – Park Geun-hye – was bribing people and abusing her power and shit like that. She’s in jail and apparently is refusing to vote. So that’s fun. Turnout is…

“Is There A Problem We’re Not Seeing?” – China’s Banking System Reaches “Tipping Point”

“The market is nervous about the impact. Everyone is wondering, ‘could there be a problem we’re not seeing?’, or ‘will there be some punishment that forces an institution to dump assets? Then banks get cautious and stop offering loans.”