China’s Debt-to-GDP Ratio Just Climbed to a Record High

 

China’s debt is still growing faster than its economy

While China’s economic expansion beat analysts’ forecasts in the second quarter, the country’s debt levels increased at an even faster pace.

Outstanding loans for companies and households stood at a record 207 percent of gross domestic product at the end of June, up from 125 percent in 2008, data compiled by Bloomberg show.

It’s All Connected – Just Open Your Eyes

COMMENT: Hi Marty,

I must say your analysis of the dow for the last six months is simply mind blowing.

Everything you said has been accurate. You are right that most will not get what your saying because they are stuck in a linear world – not a dynamic world.

You did say markets would churn into May. You were SPOT on. I guess what throws most is when you say we could get a high in May/June or September. They can’t process the dynamism. They guys would be good candidates for government work where they can just try control everything.

Indeed I am looking forward to the biggest “mind twisting” trade of the century, as you say. It is looking at this stage like a May/June high – everything is truly connected. You have opened my eyes forever.

…

REPLY: It is so hard for many to understand how everything is connected and to separate me from the computer. The vast majority who disagree always make this personal rather than the analysis. The churning of the Dow until May was connected to the dollar rise and the collapse of the Euro on just one level. If you would normally see a decline that everyone was calling for in the US market, they missed the currency play which would provide steady support for the Dow.