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Slowdown in Chinese Demand
Loan GrowthGDP Growth791113151719
Chinese RequiredReserve Ratio
Chinese Required Reserve Ratio for Major Banks
Source: The People’s Bank of China; Bloomberg; Knight Research
Chinese Loan and GDP Growth
(% Change YoY)
NYT article 2/2/2011 stating China ispoised to hike rates within one month
Mixed PMI data recently; new 5M lowand second consecutive decline forJanuary
Chinese press reported 2/1/2011 thatthe PBOC may implement price controlsto stabilize inflation
PBOC may be backing away fromdifferentiated RRR in 2011 as liquidity istight (around New Year)
Is China like Japan in that it absorbsmore global growth than itprovides?
How much will the RE and bankingsectors be shielded from aslowdown?
Is it a normal cycle or a bubble?