China Securities Journal: Large-scale property price declines won’t have a significant impact on banks

From a front-page commentary in the China Securities Journal:

• The government should not send a signal that it will “save the property market”
• Should instead allow adjustments to occur by market mechanisms themselves

Says further:

• Property price cuts, even breaking funding chains for some developers, are part of the process for a bubble to deflate
• Even regional collapses of property markets won’t wear down the banking system and large-scale property price declines won’t have a significant impact on banks

Via MNI