What has the crisis meant for debt levels in China? (LGIM, 4 min read) Legal & General’s China credit scorecard that tracks 14 indicators across four sectors (macro, property, corporates, and banks) shows only five areas of medium stress (economy-wide leverage, growth, profits, SME confidence, and NPLs). The absence of significant stress makes them confident that China does not face a typical EM style credit risk. [Bullish China]
China has a new way to exert political pressure: weaponising its courts against foreigners (The Conversation, 5 min read) Communist party intervenes in a legal matter if it deems the context to be politically sensitive. The sudden death penalty of Gilespie (Australian who was convicted for drug smuggling) was used as a part of Chinese political arsenal to signal a warning to Australia for their recent anti-china rhetoric.
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