A man gestures in front of a screen showing stock exchange and economic data in Shanghai on October 7. Markets appear unconcerned about the debt woes around China Evergrande Group and several other developers, reportedly in expectation of Beijing moving to intervene. Photo: EPA-EFE
A man gestures in front of a screen showing stock exchange and economic data in Shanghai on October 7. Markets appear unconcerned about the debt woes around China Evergrande Group and several other developers, reportedly in expectation of Beijing moving to intervene. Photo: EPA-EFE
Nicholas Spiro
Opinion

Opinion

Macroscope by Nicholas Spiro

Markets’ calm over Evergrande debt crisis could be a double-edged sword

  • Investors seem to expect Beijing to ease its curbs on the property sector to head off contagion and damage to China’s economic recovery
  • With most of China’s debt held at home and few signs of spreading contagion, though, Beijing has a strong incentive to keep turning the screw

A man gestures in front of a screen showing stock exchange and economic data in Shanghai on October 7. Markets appear unconcerned about the debt woes around China Evergrande Group and several other developers, reportedly in expectation of Beijing moving to intervene. Photo: EPA-EFE
A man gestures in front of a screen showing stock exchange and economic data in Shanghai on October 7. Markets appear unconcerned about the debt woes around China Evergrande Group and several other developers, reportedly in expectation of Beijing moving to intervene. Photo: EPA-EFE
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