Pauls' Revere
Member
- Joined
- Nov 15, 2007
- Messages
- 11,347
Wonder if the global central banks will coordinate as they did during the housing crash of 08'?
https://www.cnn.com/2021/11/09/investing/china-property-evergrande-fed-warning-intl-hnk/index.html
Hong Kong (CNN Business)Troubles in China's vast real estate sector could spill over to the global economy — including the United States, according to the Federal Reserve.
The US central bank warned Monday that China's ongoing property woes could elevate "financial stresses in China, [which] could further strain global financial markets and negatively affect the United States."
In its biannual report on financial stability, the Fed pointed specifically to the crisis at Evergrande, China's most indebted developer. The company has sparked fears of contagion since September, upon warning that it could default on its debts of more than $300 billion. Several other real estate developers are also in trouble.
Though "Chinese authorities have introduced measures to cool down property markets," there is a risk that "financial vulnerabilities will continue to rise," the Fed noted.
The central bank warned that given the size of China's economy and financial system, and its global ties, "financial stresses in China could strain global financial markets through a deterioration of risk sentiment, pose risks to global economic growth, and affect the United States."
https://www.cnn.com/2021/11/09/investing/china-property-evergrande-fed-warning-intl-hnk/index.html
Hong Kong (CNN Business)Troubles in China's vast real estate sector could spill over to the global economy — including the United States, according to the Federal Reserve.
The US central bank warned Monday that China's ongoing property woes could elevate "financial stresses in China, [which] could further strain global financial markets and negatively affect the United States."
In its biannual report on financial stability, the Fed pointed specifically to the crisis at Evergrande, China's most indebted developer. The company has sparked fears of contagion since September, upon warning that it could default on its debts of more than $300 billion. Several other real estate developers are also in trouble.
Though "Chinese authorities have introduced measures to cool down property markets," there is a risk that "financial vulnerabilities will continue to rise," the Fed noted.
The central bank warned that given the size of China's economy and financial system, and its global ties, "financial stresses in China could strain global financial markets through a deterioration of risk sentiment, pose risks to global economic growth, and affect the United States."
