– China Has A Housing Bubble In “Some Cities”, PBOC Admits (ZeroHedge, May 23, 2014):
While US central bankers shudder at the idea of admitting their could be a bubble in real estate or stocks (unless its obvious in hindsight); and England’s Bank of England explains ‘if there is a bubble, it’s not their fault, but there isn’t so there’; it appears the Chinese are more comfortable with the truth. As Bloomberg BusinessWeek reports, China’s central bank Governor Zhou Xiaochuan said, China may have a housing bubble only in “some cities,” – an issue that’s difficult to resolve with a single nationwide policy. As concerns mount of dramatic over-supply on the back of extrapolated urbanization dreams, Zhou notes, “The economy has slowed down a bit, but not very much,” adding that “we should keep vigilance on whether it continues to slow down.” Which is odd because US talking heads have made up their minds that China is fixed…
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In some cities? Like their ghost towns?
China is one of the biggest liars on the globe, you can believe none of what they say, half of what they show you. They banked on exports. For a while, the US was their #1 customer, the 2007-08 crash ended that. Then, the EU became their #1 customer until the crash hit them. The EU has a long history of ability to cut back and only buy essentials……this was a killer for China.
Ever since, they have been lying about their export records, even when other countries show numbers far lower than China’s, they continue to lie. Such behavior is foolish, and any credibility they had is gone.