Home > Oct 2017 > Oct 9, 2017 China is Back from Holiday, Golden Week not so Golden yet China Gossip for Loans Spike Copper

Oct 9, 2017 China is Back from Holiday, Golden Week not so Golden yet China Gossip for Loans Spike Copper

October 9th, 2017

Well our Futures are Up .10% the second hour of the European Trade. China’s early number of property sales, retail and travel was below estimates. China Non Official Govt PMI Service and Comp came out and fell to 21 month low missing estimates. There is a rumor floating around that China Govt will allow more loans to be issued this Friday as a lead into the Chinese Congress starting Oct 18. Shanghai Futures had Copper up big. BTW, at a party I heard a conservation from a guy who has never bought stocks before but is taking out a loan to do so…that I think, is giving hope to this Bear.

Oct 2017

  • Trading_Nymph

    SHANGHAI, Oct 9 (Reuters) – The People’s Bank of China (PBOC) asked some commercial banks on Monday about their demand for medium-term lending facility (MLF) loans, market sources with direct knowledge of the matter said.

    The central bank is expected to inject the funds through the MLF loans on Friday, the sources said. It was not known how much it would inject, via which tenors or whether rates would remain unchanged.

    A batch of 84 billion yuan ($12.68 billion) of 12-month MLF loans is due to mature on Oct. 13, and another two batches of such loans with a total value of 355.5 billion yuan are set to expire next week.

    The PBOC has increasingly relied on MLF loans to guide medium-term interest rates and manage liquidity in the banking system.

    However, China’s central bank on Sept.30 cut the amount of cash that some banks must hold as reserves for the first time since February 2016 in a bid to encourage more lending to struggling smaller firms and energize its lacklustre private sector.


  • Trading_Nymph

    ource:Xinhua Published: 2017/10/9 15:02:52

    China’s service sector growth slowed in September, as a private survey showed Monday that an index for the sector fell to the lowest in 21 months.

    The Cain General Services Purchasing Managers Index (PHI) slipped to 50.6 in September from 52.7 in August, according to the survey conducted by financial information service provider Markit and sponsored by Caixin Media Co. Ltd. A reading above 50 indicates expansion, below 50 shows contraction.

    The reading was the lowest recorded by the survey since June. As a result, the Caixin China Composite Output Index, which covers manufacturing and services companies, fell to 51.4 last month from 52.4 in August, also a three-month low.

    The Caixin survey showed new orders rose more slowly in September than in August, which contributed to the weaker pace of hiring – payroll numbers expanded only marginally in September.

    The rise in input prices in the service sector accelerated for the second month in a row, the survey showed, but it has been far milder than in manufacturing sector, where costs increased at the fastest rate in nine months in September due to higher raw material prices.

    The difference between the readings of the Caixin indices and official PMI released by the National Bureau of Statistics is partly due to the types of companies included in the surveys.

    The official survey samples 4,000 relatively large non-manufacturing companies, while the Caixin survey has a smaller sample size of around 400 companies and mainly focuses on small and medium-sized firms.

    The official manufacturing PMI rose to 52.4 in September, the highest since April 2012, as growth in new orders reached its highest level in more than five years.

    The official non-manufacturing PMI, covering the service industry and the construction sector, rose to 55.4 in September, the highest reading since May 2014, on a strong increase in building activity as the industry enters its busy season.

    As a major part of the non-manufacturing sector, the service industry’s business activity index rose from 52.6 in August to 54.4 in September, according to the NBS.

    The service sector — which includes finance, real estate services and marketing, transport and retail — has become an increasingly important part of the Chinese economy, as the country tries to shift the economy towards a growth model that draws strength from consumption, services, and innovation.

    The sector accounted for more than half of the Chinese economy last year.

  • Trading_Nymph

    Happy Columbus Day.

  • Trading_Nymph

    Panther can’t get over the low VIX. Your post got me reading about the 1994 Bond Slaughter…wonder if it will happen again?

  • panther341

    bond market and others will be thin. banks closed. post office closed. https://about.usps.com/news/events-calendar/2017-postal-holidays.htm UPS and FDX not closed. LOL