by Tyler Durden
Monday, Jul 12, 2021 - 08:11 AM
Nearly seven months ago, last December, we made a key observation: after surging higher in the aftermath of the covid crisis as Beijing scrambled to reboot the economy with a record burst of new credit creation, the most important signal for the global economy - China s credit impulse - had peaked, a reversal which we said would unleashed profound shockwaves on everything from the global economy to capital markets, if with a lag that was sizable enough that most market participants would forget all about the catalyst that caused this adverse sequence of events manifesting so vividly in the past few weeks.
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