I want to short the Chinese housing market

China’s house market is in crisis. Real estate prices that skyrocketed over the past few decades have begun to fall. In July, new-home sales at China’s 100 biggest developers fell 33 percent from a year earlier, according to data from the China Real Estate Information Corp. Sales also fell 28 percent in June. More than 50 Chinese developers have defaulted or failed to make debt payments in the last three years, according to the credit ratings agency Standard & Poor’s. And the picture is far worse outside of the country’s megacities like Shanghai and Beijing. Average new home prices in 35 cities surveyed by NBS fell for the 17th straight month in June on a year-on-year basis.

China’s $3 trillion shadow banking sector is roughly the size of Britain’s economy. Over the past decade, China has been the source of more than 40 percent of global economic growth, compared with 22 percent from the United States and 9 percent from the eurozone, according to BCA Research.

Christian Bale: The big short by Adam McKay, 2015
bloomberg.com, John Liu, 14.09.2023
nytimes.com, Daisuke Wakabayashi and Alexandra Stevenson, 21.08.2023
reuters.com, 16.08.2023