How inflated is Chinese property, you say?

Monday, 3 August 2015

This much:

With respect to our communist overlords, that is ridiculous. And it’s getting worse in top tier cities with CREIS house price data for July showing some insane jumps:

The real story remains a bifurcated recovery as the rich get richer and lower tier cities deflate. Given sub tier-one cities account for 95% of building and sub tier-two cities account for 75%, there is nothing here to arrest the broad decline in residential construction.

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About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.