{"id":54148,"date":"2020-07-13T08:20:16","date_gmt":"2020-07-13T13:20:16","guid":{"rendered":"https:\/\/olduvai.ca\/?p=54148"},"modified":"2020-07-13T08:20:19","modified_gmt":"2020-07-13T13:20:19","slug":"weekly-commentary-utmost-crazy","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=54148","title":{"rendered":"Weekly Commentary: Utmost Crazy"},"content":{"rendered":"\n<h3 class=\"wp-block-heading\"><a href=\"http:\/\/creditbubblebulletin.blogspot.com\/2020\/07\/weekly-commentary-utmost-crazy.html\">Weekly Commentary: Utmost Crazy<\/a><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">The Shanghai Composite surged 7.3% this week, increasing y-t-d gains to 10.9%. The CSI 300 rose 7.6%, with 2020 gains of 16.0%. China\u2019s growth-oriented ChiNext Index\u2019s 12.8% surge boosted year-to-date gains to 54.5%. Copper jumped 7.1% this week. Aluminum rose 4.6%, Nickel 4.0%, Zinc 8.3%, Silver 4.2%, Lead 4.2%, and Palladium 3.5%. China\u2019s renminbi advanced 0.9% this week to a four-month high versus the less-than-king dollar.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><em>July 9 \u2013 Bloomberg: \u201cLike millions of amateur investors across China, Min Hang has become infatuated with the country\u2019s surging stock market. \u2018There\u2019s no way I can lose,\u2019 said the 36-year-old, who works at a technology startup\u2026 \u2018Right now, I\u2019m feeling invincible.\u2019 Five years after China\u2019s last big equity boom ended in tears, signs of euphoria among the nation\u2019s investing masses are popping up everywhere. Turnover has soared, margin debt has risen at the fastest pace since 2015 and online trading platforms have struggled to keep up. Over the past eight days alone, Chinese stocks have added more than $1 trillion of value &#8212; far outpacing gains in every other market worldwide.\u201d<\/em><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">China\u2019s Total Aggregate Financing (TAF) expanded a much stronger-than-expected $490 billion in June, up from May\u2019s $455 billion expansion and 30% above growth from June 2019. TAF surged a remarkable $2.976 TN during the first-half, 43% ahead of comparable 2019 (80% ahead of first-half 2018).<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">It\u2019s not easy to place China\u2019s ongoing historic Credit expansion in context. While not a perfect comparison, U.S. Total Non-Financial Debt (NFD) expanded a record $3.3 TN over the four quarters ended March 31st. In booming 2007, U.S. NFD expanded about $2.5 TN. Chinese Total Aggregate Financing has expanded almost $3.0 TN in six months.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In the face of economic contraction, TAF increased a blistering $4.39 TN, or 12.8%, over the past year. For perspective, y-o-y growth began 2020 at 10.7% &#8211; and is now expanding at the strongest pace since February 2018. Beijing is targeting TAF growth of $4.3 TN (30 TN yuan) for 2020, about 25% ahead of record 2019 growth (and up 45% from 2018 growth).<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u2026click on the above link to read the rest of the article\u2026<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Weekly Commentary: Utmost Crazy The Shanghai Composite surged 7.3% this week, increasing y-t-d gains to 10.9%. The CSI 300 rose 7.6%, with 2020 gains of 16.0%. China\u2019s growth-oriented ChiNext Index\u2019s 12.8% surge boosted year-to-date gains to 54.5%. Copper jumped 7.1% this week. Aluminum rose 4.6%, Nickel 4.0%, Zinc 8.3%, Silver 4.2%, Lead 4.2%, and Palladium [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[7756,16861,1849],"class_list":["post-54148","post","type-post","status-publish","format-standard","hentry","category-economics","tag-credit-bubble-bulletin","tag-doug-noland","tag-financial-markets"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/54148","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=54148"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/54148\/revisions"}],"predecessor-version":[{"id":54149,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/54148\/revisions\/54149"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=54148"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=54148"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=54148"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}