Bullish China

China banking authority realize to see $1.3 trillion of bank loans channelled into public works rather than stocks and property. But for lenders, such worthy projects can be a recipe for bad debts. China’s big banks are unlikely to blow up – but dead-end loans could be a drag on earnings for years to come.

As the world struggles with the financial crisis and its repercussions on the global economy, questions inevitably arise as to what and who will drive the financial markets in future years. China is likely to be one of the key players, given its dynamic development.
China’s financial markets have enjoyed a period of strong growth since [...]