Forget about deleveraging, it releveraging time for China.
March new yuan loans, 1690bn yuan - huge beat
- expected 1250bn, prior was 885.8bn
Aggregate financing RMB for March, 2860bn yuan … ditto, huge beat
- expected 1825bn, prior was 703bn. Big jump is on the back of faster local government special bond and LGFV bond issuance, also an increase in new loans.
This is part of stimulus efforts, but do note its likely such rapid growth reduces the likelyhood of more monetary easing in the near term.
This sort of stimulus in China is a positive for China-proxy trades (eg. the Australian dollar).
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Those above are the big two, but also:
Money supply M0 for March 3.1% y/y
- expected 3.3%, prior -2.4%
Money supply M1 for March 4.6% y/y
- expected 2.9%, prior was 2.0%
Money supply M2 for March 8.6% y/y (fastest growth since February 2018)
- expected 8.2%, prior 8.0%
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ps. This data was out late Friday, posting as an ICYMI.
