- Chinese aggregate financing, the broadest measure of credit, grew to a record 2.58T yuan ($425B) in January from 1.23T yuan in December and topped forecasts of 1.9T yuan.
- New local-currency lending soared to 1.32T yuan, the highest level since 2010, from 482.5B yuan in December and vs consensus of 1.1T yuan.
- New trust loans, which are receiving much focus due to the risk of defaults, halved to 106.8B yuan from 210.8B yuan a year earlier.
- The continued expansion in credit should help the economy keep its momentum, although it contrasts with the People's Bank of China's attempts to rein in the soaring debt and protect the stability of the financial system.
- "The PBOC is trying to take the punch bowl away but the banks are continuing to lend and keep the party going," says Société Générale's Guy Stear.
- M2, China's widest measure of money supply, +13.2% on year in January, in line, vs +13.6% in December.
- The Shanghai Composite +0.9%. (PR)
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