What happened in China this week
1. China's new bank loans contracted in July, only the second such drop this year after April. Outstanding loan growth slowed to a record low 5.1% year on year.
2. Total Social Financing, China's widest measure of credit, grew 7.4% year on year.
3. Bond and equity financing made up 47% of new social financing in 2025, overtaking bank loans for the first time.
4. Credit is flowing toward technology, not mortgages. The PBOC held rates steady to protect bank margins.
5. Alibaba's AI capex spend turned free cash flow negative and profits fell 75%. Cloud revenue grew 45%, at least giving some ROI to show for it.
6. Ping An's profits surged 36%, thanks to a market rally and a stronger insurance business.
7. Evergrande founder Xu Jiayin was sentenced to life imprisonment for fraud.
8. Hong Kong developers, meanwhile, are riding a residential recovery as prices and sales rebound. Henderson Land's profits surged 66%.
9. Unitree, one of China's leading humanoid robot makers, began trading on Shanghai's STAR Market and closed 460% higher on debut day.
For more insights, read on [premium]: https://growthdragons.substack.com/p/growth-dragons-weekly-china-borrows
1. China's new bank loans contracted in July, only the second such drop this year after April. Outstanding loan growth slowed to a record low 5.1% year on year.
2. Total Social Financing, China's widest measure of credit, grew 7.4% year on year.
3. Bond and equity financing made up 47% of new social financing in 2025, overtaking bank loans for the first time.
4. Credit is flowing toward technology, not mortgages. The PBOC held rates steady to protect bank margins.
5. Alibaba's AI capex spend turned free cash flow negative and profits fell 75%. Cloud revenue grew 45%, at least giving some ROI to show for it.
6. Ping An's profits surged 36%, thanks to a market rally and a stronger insurance business.
7. Evergrande founder Xu Jiayin was sentenced to life imprisonment for fraud.
8. Hong Kong developers, meanwhile, are riding a residential recovery as prices and sales rebound. Henderson Land's profits surged 66%.
9. Unitree, one of China's leading humanoid robot makers, began trading on Shanghai's STAR Market and closed 460% higher on debut day.
For more insights, read on [premium]: https://growthdragons.substack.com/p/growth-dragons-weekly-china-borrows
Substack
Growth Dragons Weekly: China Borrows Much Less, Alibaba's Profits Slide, Ping An and Henderson Surge, Unitree's IPO Pops 460%
What happened in China this week:
Luxury auto CEOs say there's a K-shaped economy even at the very top of the market
https://finance.yahoo.com/markets/article/luxury-auto-ceos-say-theres-a-k-shaped-economy-even-at-the-very-top-of-the-market-145500874.html
https://finance.yahoo.com/markets/article/luxury-auto-ceos-say-theres-a-k-shaped-economy-even-at-the-very-top-of-the-market-145500874.html
Yahoo Finance
Luxury auto CEOs say there's a K-shaped economy even at the very top of the market
Hit the events of Monterey Car Week, and it's apparent money is no object, but talk to the executives who actually sell these cars, and a more nuanced picture emerges.
Tariff refunds are hitting retailers' wallets. Here's what they're doing with the money.
https://finance.yahoo.com/markets/article/tariff-refunds-are-hitting-retailers-wallets-heres-what-theyre-doing-with-the-money-142951738.html
https://finance.yahoo.com/markets/article/tariff-refunds-are-hitting-retailers-wallets-heres-what-theyre-doing-with-the-money-142951738.html
Yahoo Finance
Tariff refunds are hitting retailers' wallets. Here's what they're doing with the money.
Companies are using tariff refunds to lower prices, cushion their margins, and, to a very small extent, return the money straight to the customer.
Gold jumps as Treasury buybacks revive debasement concerns
https://www.businesstimes.com.sg/companies-markets/gold-jumps-treasury-buybacks-revive-debasement-concerns
https://www.businesstimes.com.sg/companies-markets/gold-jumps-treasury-buybacks-revive-debasement-concerns
The Business Times
Gold jumps as Treasury buybacks revive debasement concerns
Bullion’s rally of around 14% so far in August could be tempered by the rebound in energy prices Read more at The Business Times.
Alibaba plans US$10 billion Hong Kong share placement to fund AI spending
https://finance.yahoo.com/technology/ai/articles/alibaba-seeks-10-billion-share-073532899.html
https://finance.yahoo.com/technology/ai/articles/alibaba-seeks-10-billion-share-073532899.html
Yahoo Finance
Alibaba Seeks $10 Billion From Share Sale for AI Expansion
Alibaba Group Holding Ltd. is seeking to raise about HK$80 billion ($10.2 billion) from a share sale, its latest move to compete for global leadership in artificial intelligence.
China tax crackdown forces wealthy investors to assess their offshore trusts
https://www.businesstimes.com.sg/international/global/china-tax-crackdown-forces-wealthy-investors-assess-their-offshore-trusts
https://www.businesstimes.com.sg/international/global/china-tax-crackdown-forces-wealthy-investors-assess-their-offshore-trusts
The Business Times
China tax crackdown forces wealthy investors to assess their offshore trusts
More than half of China’s super-rich individuals make use of offshore family trusts, reports show Read more at The Business Times.
More childcare leave, BTO income ceiling raised: 10 highlights from PM Wong’s National Day Rally speech
https://www.straitstimes.com/singapore/politics/more-childcare-leave-bto-income-ceiling-raised-10-highlights-from-pm-wongs-national-day-rally-speech
https://www.straitstimes.com/singapore/politics/more-childcare-leave-bto-income-ceiling-raised-10-highlights-from-pm-wongs-national-day-rally-speech
The Straits Times
More childcare leave, BTO income ceiling raised: 10 highlights from PM Wong’s National Day Rally speech
From more childcare leave to raising of BTO income ceiling, here are 10 highlights from PM Wong’s National Day Rally speech. Read more at straitstimes.com. Read more at straitstimes.com.
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Bessent Has No Easy Fix for What’s Really Driving Bond Yields Up
https://finance.yahoo.com/economy/policy/articles/bessent-no-easy-fix-really-130000330.html
https://finance.yahoo.com/economy/policy/articles/bessent-no-easy-fix-really-130000330.html
Yahoo Finance
Bessent Has No Easy Fix for What’s Really Driving Bond Yields Up
Treasury Secretary Scott Bessent came to office blasting his predecessor for trying to re-engineer the world’s largest bond market. This week he took a stab at it himself.
Burry Says He Sold Alibaba, Calling It Pricey Before Share Sale
https://finance.yahoo.com/markets/stocks/articles/burry-says-sold-alibaba-calling-164915099.html
https://finance.yahoo.com/markets/stocks/articles/burry-says-sold-alibaba-calling-164915099.html
Yahoo Finance
Burry Says He Sold Alibaba, Calling It Pricey Before Share Sale
Michael Burry criticized Alibaba Group Holding Ltd. shares as overvalued and disclosed that he recently exited his position in the Chinese tech giant in order to build a “large” position in rival online retailer JD.com Inc.
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Women want ‘dads,’ not ‘duds’: A Nobel-winning historian has a theory for falling birthrates, but the economics aren’t so straightforward
https://finance.yahoo.com/economy/articles/women-want-dads-not-duds-080000575.html
https://finance.yahoo.com/economy/articles/women-want-dads-not-duds-080000575.html
Yahoo Finance
Women want ‘dads,’ not ‘duds’: A Nobel-winning historian has a theory for falling birthrates, but the economics aren’t so straightforward
"The more that men can credibly signal they will be dependable ' dads' and not disappointing 'duds,' the more investment in women’s education and careers, and the higher will be the birthrate in the face of greater female agency."
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Europe’s Luxury Giants Discern Green Shoots in Key China Market
https://finance.yahoo.com/markets/stocks/articles/europe-luxury-giants-discern-green-070000126.html
https://finance.yahoo.com/markets/stocks/articles/europe-luxury-giants-discern-green-070000126.html
Yahoo Finance
Europe’s Luxury Giants Discern Green Shoots in Key China Market
Europe’s biggest luxury firms are turning a little more positive on the crucial Chinese market, as a fragile spending recovery takes shape in the country.
Canada to retaliate for US tariffs, worsening ties after talks fail
https://finance.yahoo.com/news/carney-says-canadian-tariffs-us-153928985.html
https://finance.yahoo.com/news/carney-says-canadian-tariffs-us-153928985.html
Yahoo Finance
Canada to impose retaliatory tariffs on US steel, electronics, other products, Carney says
By Promit Mukherjee and Bhargav Acharya OTTAWA, Aug 22 (Reuters) - Prime Minister Mark Carney said on Saturday that Canada would impose tariffs starting September 8 on imports of U.S. steel,
Venezuela abandoning the bolivar and adopting the U.S. dollar would be the biggest currency switch since the advent of the euro, Hanke says
https://finance.yahoo.com/markets/currencies/articles/venezuela-abandoning-bolivar-adopting-u-231110931.html
https://finance.yahoo.com/markets/currencies/articles/venezuela-abandoning-bolivar-adopting-u-231110931.html
Yahoo Finance
Venezuela abandoning the bolivar and adopting the U.S. dollar would be the biggest currency switch since the advent of the euro…
"Taming inflation is the key to restoring stability in Venezuela, and all the other progress flows from that."
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Warsh to Make First Jackson Hole Speech as Fed Chair
https://finance.yahoo.com/economy/policy/articles/warsh-first-jackson-hole-speech-200000444.html
https://finance.yahoo.com/economy/policy/articles/warsh-first-jackson-hole-speech-200000444.html
Yahoo Finance
Warsh to Make First Jackson Hole Speech as Fed Chair
Investors are looking for Kevin Warsh to clarify his views on how the US central bank should react to stubborn inflation when the Federal Reserve chair speaks on Friday at the annual gathering in Jackson Hole, Wyoming.
Trump’s Stock Disclosure Shows More Than 1,000 Trades in June
https://finance.yahoo.com/markets/stocks/articles/trump-stock-disclosure-shows-more-193105313.html
https://finance.yahoo.com/markets/stocks/articles/trump-stock-disclosure-shows-more-193105313.html
Yahoo Finance
Trump’s Stock Disclosure Shows More Than 1,000 Trades in June
President Donald Trump made more than 1,000 securities trades in June, including significant purchases of Berkshire Hathaway Inc., Visa Inc., Mastercard Inc. and Cintas Corp., according to a financial disclosure published Saturday.
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Forget AI, debt has become the main character on Wall Street as markets just now decided that it’s gotten out of control after years of warnings
https://finance.yahoo.com/economy/policy/articles/forget-ai-debt-become-main-192531991.html
https://finance.yahoo.com/economy/policy/articles/forget-ai-debt-become-main-192531991.html
Yahoo Finance
Forget AI, debt has become the main character on Wall Street as markets just now decided that it’s gotten out of control after…
"When does debt become unsustainable? When the global financial markets say it is. That appears to be happening."
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Nvidia customers notified about AI-related price hikes above 15%, Bloomberg News reports
https://finance.yahoo.com/technology/ai/articles/nvidia-customers-notified-ai-related-192053530.html
https://finance.yahoo.com/technology/ai/articles/nvidia-customers-notified-ai-related-192053530.html
Yahoo Finance
Nvidia customers notified about AI-related price hikes above 15%, Bloomberg News reports
Some of Nvidia's largest customers have been told prices of servers containing its AI chips will rise by more than 15% in many cases with memory chip costs soaring, Bloomberg News reported on Saturday. The price hikes will go into effect on systems shipped…
Every Chokepoint That Isn't Hormuz
https://finance.yahoo.com/energy/articles/every-chokepoint-isnt-hormuz-170000983.html
https://finance.yahoo.com/energy/articles/every-chokepoint-isnt-hormuz-170000983.html
Yahoo Finance
Every Chokepoint That Isn't Hormuz
Hormuz gets the headlines. Bab el-Mandeb, Malacca, the Turkish Straits, Denmark and Panama move 36.7 million bpd between them. Here's each one.
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