China’s bank lending nears its Minsky Moment

China lend Aug11.png

by Paul Hodges

China’s credit bubble is one of the largest the world has ever seen. This is true not only of its total size, but also in relation to GDP.

The history of credit bubbles is very clear about …

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High Frequency Trading dominates as markets crash

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by Paul Hodges

The Chemicals and the Economy blog was almost alone at the end of April, when it launched the IeC Downturn Alert. Today, its fear that we are close to a global downturn has become mainstream.

As the …

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China And Bouncing Dead Cats

By John Richardson

Fifty per cent of the blog (John Richardson) is on leave for the next two weeks.

Next week Paul Hodges will be posting on Asian Chemical Connections. Paul runs the ICIS Chemicals & Economy blog.Then from the …

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More On China And Stimulus Hopes

By John Richardson

THE fact that the focus has turned to what China might be able to do to once again rescue the global economy reinforces just how important it has become for global growth prospects.

For the chemicals industry …

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Chem Companies And The Oil Delusion

By Nigel Davis and John Richardson

On the financial markets it depends when investors feel confident enough to step back into shares. An analyst on Tuesday asked who would be willing to catch a falling knife?

But there are already …

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China To The Rescue Again? Unlikely….

By John Richardson

AS the global economy enters a new recession the great hope, as we discussed yesterday, is that China once again steps in with a stimulus package as did in late 2008.But can China risk a repeat of …

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Place Your Bets – Who Is Right?

By John Richardson

DOW Chemical CEO Andrew Liveris said in a 27 July conference call that China’s industrial economy was still doing very well. “They’re managing themselves down very nicely,” he added, pointing to official GDP growth numbers of 8-9%, …

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Polyolefins In “Chaos And Panic”

By John Richardson

CHINA’S polyolefin market was in “total chaos and panic” this morning, according to a Singapore-based trader.

The Dalian Comodity Exchange’s futures contract in linear low-density polyethylene (LLDPE) fell a further 5% this morning after declines earlier in …

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Q2 setback for Korea

By Malini Hariharan

The margin pain experienced in Asia in the last quarter is clearly evident in the recently released results by South Korean majors Honam Petrochemical and LG Chem.

Honam’s operating profit for Q2 declined 36.8% from the previous …

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Oil Prices, Wall Street And Economic Chaos

By John Richardson

Crude oil and commodities markets have lost touch with the fundamental realities. This didn’t just happen yesterday, but began a decade ago.That’s the argument the blog put forward in the latest chapter of our new free eBook, …

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