CHINA JUST BORROWED 5% OF GDP IN ONE MONTH - COMPARABLE ONLY TO WWII LEVELS
China’s PPI data said it is sliding into deflation again - and borrowing for January was insane.
If the January pace is kept up, China is already throwing the whole kitchen at the economy.
It borrowed FIVE PERCENT OF GDP IN ONE MONTH. That’s 60% of GDP in a year. That’s a peak-WW2 level of borrowing.
Does it suggest a real trade deal is coming OR that China is backing away from its state-led model?
Try to understand that. (And be very nervous on CNY.)