China keeps credit pedal to the metal

China’s PBOC released new yuan loans for September last night it remains credit pedal to the metal with total social financing at 3.48tr yuan of which 1.9tr was bank lending:

The non-bank share has rebound strongly but that is distorted by the inclusion of local government bonds these days:

The three month moving average of new credit is a very solid block:

The rolling annual is a rocket ship:

M2 is strong at 10.9%:

And broad credit is once again off to the races:

Put another way, to achieve such credit growth from such a high base, China is binging on debt in a manner never before seen:

Obviously, it is commodity price supportive while it lasts.