Let’s take a look under the hood to see where the financial stress is building
by Craig Stephen
HONG KONG (MarketWatch) — While China’s first-quarter growth figures pleased some analysts enough to upgrade their forecasts, George Soros was not impressed. Doubling down on his earlier comments that a hard landing for China was inevitable, he now says China’s is facing a financial crisis similar to the U.S. in 2008.
While such warnings over debt-fueled growth have become increasingly regular — both S&P and Moody’s cut the sovereign credit outlook to negative in March — at the same time, China has proved remarkably adept at kicking the can down the road.
The voice of legendary investor Soros carries considerable weight — but are we really any nearer that crisis point?