Latest Chinese credit data for May has been released - 10 June 2020
- Prior +11.1%
- New yuan loans ¥1,480.0 bn vs ¥1,600.0 bn expected
- Aggregate financing ¥3,190.0 bn vs ¥3,100.0 bn expected
Money supply growth is seen sticking at elevated levels as China dials back on deleveraging efforts in order to maintain a healthy supply of liquidity/credit in the economy, so as to maintain supportive measures in dealing with the virus fallout.
If anything, expect such conditions to remain that way as global demand/trade is also seen to be more subdued over the coming months/quarters as well.
