As noted yesterday, Goldman is tracking a goodly bounce in Chinese real estate sales:
Investors worry that too strong a rebound in the property market might go against the “housing is for living in, not for speculation” mantra and could cause the government to start tightening property policies again, although we think policymakers are likely more patient this time around after withdrawing too much support too quickly during 2020/21.
There are reasons for property to take off but also reasons to be cautious:
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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.
