64 Results for:

August 6, 2007

Monetary Policy
The housing market shouldn’t bank on a PBoC put …

Yes, Virginia, seeking higher dollar returns to offset the dollar’s depreciation does mean taking on more risk.  And Steve Schwarzman wasn’t going to underprice his IPO just because China underpriced…

August 22, 2007

China
The one thing the US really exports to China

John Cassidy is right.  The leading US export to China is high-quality housing debt.   The toxic waste generally went elsewhere – thought there are now hints that China (perhaps the state bank…

china_debt_tic_data_mid_07

August 28, 2007

China
Just how large is China’s subprime exposure?

Josef Joffe: [Can Moscow and Beijing] mend a global financial system battered by subprime crisis?   Where are the central banks of Russia and China?  Hmmm.    The fact that China and the oi…

September 4, 2007

China
Close to $500b of debt purchased over the last 18 months, and not a cent of subprime …

China’s reserve managers – the State Administration of Foreign Exchange – recently reported that they have exactly zero exposure to US subprime mortgages.    “"China's official forex reserves d…

December 19, 2007

China
The alliance between China’s (nominally) communist government and Wall Street deepens …

The China investment corporation (the CIC) is investing $5b in Morgan Stanley, taking a 9.9% stake.That is a bit of a surprise, at least to me.   After the CIC's (mark to market) losses on Blacks…

December 30, 2007

China
Does the China investment corporation (CIC) have a coherent investment strategy?

I personally would say no.  And I am not alone.  Tan Wei of mergermarket.com reports (in the FT) “a source familiar with the Chinese government’s thinking … who has direct access to the Chinese g…

May 1, 2008

China
Managing China’s real appreciation

The BIS computes the real exchange rate for a broad range of countries (if only the data extended backwards a bit further). The BIS data shows that China’s real exchange rate tracked the US real e…

bis_rer_1

August 5, 2008

China
Old habits die hard ...

At the first hint of a slowdown, the US tends to take steps -- like a fiscal stimulus package -- to support domestic demand. Though to be fair, the US has also loosened monetary policy, and one…

’chinese-08-exports-what-slowdown.JPG’

September 5, 2008

China
Interesting

One of my usual laugh lines is that the CIC isn’t a sovereign wealth fund; it is a sovereign loss-minimization fund. After all, selling debt denominated in an appreciating currency (and one that…

January 2, 2009

China
As trade slows, China doesn’t rethink its growth strategy ...

My title is a play on the New York Times’ online headline: "As Trade Slows, China Rethinks its Growth Strategy." The print version of the Times carries a headline that more accurately reflects the…