Tuesday, June 21, 2016

Charts: Climatic Manias in Motion!



For the top 100 cities, China’s property prices zoomed by 50% y-o-y according to the Wall Street Journal (as quoted by ZH)!!!!

Philippine PSEi seem to be following the footsteps in terms of the intensity of China’s property price actions. As of yesterday, the PSEi has surged by an astounding 26% in 4 months plus! This should be 27% if the PSEi closes 1% today. 

In 1Q 2016, China's credit expansion skyrocketed USD $1 trillion in 1Q! So the tsunami of money found its way to a nationwide property pump. This as against a relatively smaller amount of credit expansion from the BSP's silent stimulus, through the domestic banking system. The domestic version apparently spilled over to mostly the PSEi! That's because domestic property prices has shown little improvement (as noted yesterday

And as for my suspicions about rotational pumping on the top 5 issues, well it has been happening. Massive pumping has happened in the top 3 issues yesterday, SM, ALI and JGS while the rest is happening today!

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