Article

2010-12-06 China-Japan-Koreas

China's credit bubble on borrowed time as inflation bites

Archived material is restricted to Rantburg regulars and members. If you need access email fred.pruitt=at=gmail.com with your nick to be added to the members list. There is no charge to join Rantburg as a member.

Posted by tipper 2010-12-06 08:00|| || Front Page|| [3 views ] Top

#1 ...has advised clients to take out protection against the risk...

This is another major element that fueled the current financial mess. If you gamble with financial instruments, you should not be able to take 'protection against risk'. You are just trying to tag someone else with what should be your own concern with your own money. Do you underwrite Las Vegas gamblers? A very very small group of people do, and they take their loses without hammering everyone else. These big boys will expect someone else, ie the peons, to ultimately back their loses. Fortunately for them and unfortunately for everyone else, they have agents at the levers of power who will stick it to the peons to cover their gamble.

Posted by Procopius2k 2010-12-06 09:27|| 2010-12-06 09:27|| Front Page Top

#2 AEP so salt required.

Posted by Bright Pebbles 2010-12-06 10:22|| 2010-12-06 10:22|| Front Page Top

#3 I have a sneaking suspicion that a default by China would topple enough of the world's financial system that the "protection" advocated by RBS wouldn't be worth the paper / electrons it was written on.

Posted by AzCat 2010-12-06 19:06|| 2010-12-06 19:06|| Front Page Top

#4 #3 - A US default would also topple the world's financial system, taking China down with it. Every country has been running on too much borrowed money, and none want to pay off the loans, even if they were able to, which they aren't.

Posted by Anguper Hupomosing9418 2010-12-06 19:35|| 2010-12-06 19:35|| Front Page Top

23:59 Skidmark
23:58 trailing wife
23:45 Skidmark
23:44 trailing wife
23:42 Skidmark
23:42 Canuckistan sniper
23:36 Redneck Jim
23:35 trailing wife
23:27 trailing wife
23:21 JosephMendiola
23:15 trailing wife
23:13 gorb
23:12 trailing wife
23:10 gorb
23:09 tu3031
23:04 gorb
22:54 gorb
22:54 gorb
22:50 flash91
22:46 SteveS
22:41 Swamp Blondie
22:31 Swamp Blondie
22:23 flash91
22:21 Swamp Blondie