BANK BUBBLE FINALLY BURSTING IN CHINA

FORTY BANKS VANISHED mere days ago. The dam that burst is not Three Gorges but the smaller insolvent banks. Absorbed into bigger players.

FORTY PER CENT of these bank portfolios were comprised of NPLs (Non Performing Loans). Now, < 4,500 banks in the Mainland. And dropping.

FOLDING WEAKER BANKS INTO bigger ones is a copycat move of The West. Combined with the money printer, this might buy time (but not a lot).