Evergrande är ett kinesiskt företag som håller på med fastighetsutveckling och har just nu svårt att ens betala ut löner. Om detta företag skulle sjunka så kan det bl.a få förödande konsekvenser för omvärlden.
What's happening: Evergrande, one of China's largest property developers, is in dire straits. It warned this week that it could default on its substantial debts, listing $300 billion in total liabilities, if it can't raise money quickly. Should that happen, the effects would be felt across the country's banking system. The group has also suspended work on some projects as it tries to conserve cash, a move that's poised to hit China's property sector.
Investors are clearly worried. Evergrande's shares in Hong Kong are off 72% this year. That's significantly worse than the 29% plunge suffered by Alibaba (BABA), which has been at the center of the Chinese government's efforts to rein in big tech firms. Hong Kong's Hang Seng index is off 4% year-to-date.
Why it matters: China's economy is stuttering due to its aggressive approach to constraining the Delta variant and supply chain woes. The Caixin index tracking the country's manufacturing sector, released Wednesday, fell to 49.2 in August, indicating the first contraction since April 2020. Meanwhile, Chinese markets have plunged this year as authorities target tech, education and other private enterprises, wiping $3 trillion off the market value of the country's biggest companies.
https://edition.cnn.com/2021/09/01/investing/premarket-stocks-trading/index.html
Om detta företaget faller så kan vi se början på en stor problematisk utveckling i omvärlden och ju mer ekonomin stannar i Kina så stannar den också i omvärlden.
Vad tror ni blir utfallet?
What's happening: Evergrande, one of China's largest property developers, is in dire straits. It warned this week that it could default on its substantial debts, listing $300 billion in total liabilities, if it can't raise money quickly. Should that happen, the effects would be felt across the country's banking system. The group has also suspended work on some projects as it tries to conserve cash, a move that's poised to hit China's property sector.
Investors are clearly worried. Evergrande's shares in Hong Kong are off 72% this year. That's significantly worse than the 29% plunge suffered by Alibaba (BABA), which has been at the center of the Chinese government's efforts to rein in big tech firms. Hong Kong's Hang Seng index is off 4% year-to-date.
Why it matters: China's economy is stuttering due to its aggressive approach to constraining the Delta variant and supply chain woes. The Caixin index tracking the country's manufacturing sector, released Wednesday, fell to 49.2 in August, indicating the first contraction since April 2020. Meanwhile, Chinese markets have plunged this year as authorities target tech, education and other private enterprises, wiping $3 trillion off the market value of the country's biggest companies.
https://edition.cnn.com/2021/09/01/investing/premarket-stocks-trading/index.html
Om detta företaget faller så kan vi se början på en stor problematisk utveckling i omvärlden och ju mer ekonomin stannar i Kina så stannar den också i omvärlden.
Vad tror ni blir utfallet?