Cross-posted from Investing in Chinese Stocks.
Real estate investment slowed again in November, this time to 7.59% year-on-year growth. This is the worst monthly growth total since September’s 8.63% growth, and going back in time, these numbers are worse than only a couple of months in 2009, at the depth of the financial crisis. To the charts.
Real estate investment growth rate:
Land purchases by developer (area), the drop was no doubt led by smaller cities, as covered earlier this week in A Tale of Two Tiers:
New Home Sales By Area (yellow) and Yuan (blue):
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Developer capital:
Finally, I show the one month, year on year change in the last chart, which shows investment running below trend: