China Default Thread

Discussion in 'Journals' started by Stockolio, Apr 30, 2019.

  1. destriero

    destriero

    Dude, you can post that shit all you want. You act as though it's not in the market. Hint: everybody knows. Until it falls it's just conversation.

    What's your bear position on your blowup China thesis?
     
    #11     Apr 30, 2019
  2. What does China Large Cap ETF have to do with liquidity in banking system ? There CB bought more Equities in 2019 then BoJ
     
    #12     Apr 30, 2019
  3. Don't have one... My only play is HYG Puts
     
    #13     Apr 30, 2019
  4. destriero

    destriero


    What does the SPY have to do with the US banking system?

    Unless you're long Chinese bank stocks in your 88888 account... it's all masturbation without the payoff.

    What. do. you. stand. to. gain?
     
    #14     Apr 30, 2019
  5. destriero

    destriero


    lol and their correlation to the Chinese economy and/or Chinese equities? At least you could feign competence and be short a China ETF.

    HYG trades to an ATH, intraday.

    2019-04-30_1633.png
     
    #15     Apr 30, 2019
  6. pipeguy

    pipeguy


    It's command economy and conventional wisdom stemming from capitalism is not quite applicable there. Take for example bank loans - commercial banks making record loans while increasing bad loan provisions. How would you interpret that data for Goldman Sachs for example? Of course sell shares because it seems to be too reckless. But it's not the case for Chinese banks which are basically branches of PBOC which pursues government targets.
     
    #17     May 1, 2019
    dozu888 likes this.
  7. dozu888

    dozu888

    The China system is unproven, for good or bad.... can't apply conventional capitalism rules.

    yes the debt situation is horrifying, but at the mean time the government has unlimited power... it also has the worlds' most hard-working people... 1.5 billion of them.. who will not revolt even if the government robs away all their savings.. which has been going on with the real estate bubble - in major cities it takes past/future savings of 3 generations to buy a condo.

    eventually someone has to pay, but most likely it's the average citizen.
     
    #18     May 1, 2019
    Specterx likes this.
  8. R1234

    R1234

    offtopic: stare at dest's chart on your phone. I swear it looks 3-D
     
    #19     May 1, 2019
    destriero likes this.
  9. On the contrary, the Chinese command economy has been proven over centuries. They had a blip there for a bit due to colonialism where they slipped, but it's back to command economy for the foreseeable future. The only difficulty they may have is if they default on debts to non-Chinese. This, they cannot control. I expect they are extremely careful here.
     
    #20     May 1, 2019