Empty apartments begin to bubble in China

Advertisement

Via Capital Economics:

Resurgent buying in empty apartments. It could be catch-up. Or, given this is always where excessive Chinese credit easing ends up, so we’ll see another cycle of massive capital misallocation.

Ipso facto, combined with infrastructure, this has the makings of a new iron ore cycle (notwithstanding various short term headwinds).

The full text of this article is available to MacroBusiness subscribers

$1 for your first month, then:
Cancel at any time through our billing provider, Stripe
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.