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China’s Economic Crisis Is Here
And it might not be what you think
China’s economic engine is sputtering — and this time, it’s not just another slowdown. It’s structural. It’s systemic. It’s scary.
Let’s break it down.
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Banks are lending less.
That alone should send shivers through any market-watcher’s spine. When banks stop handing out money, it means people aren’t buying homes, businesses aren’t expanding, and consumption takes a nosedive. In China, loan issuance has tanked. That’s not a blip — it’s a warning.
Inflation has gone negative.
That’s right — prices are falling. Not because of efficiency or tech progress, but because demand is collapsing. If factories and stores have to drop prices just to stay afloat, that’s a red flag. Deflation isn’t growth — it’s retreat.
Factory activity? Shrinking.
China’s manufacturing has been in the red for months. This is the world’s factory floor — and it’s grinding to a crawl. Fewer…