More bad news from financial times in China. The real estate market is crumbling like a stale fortune cookie.
Sinic Holdings said it likely won’t repay $250 million worth of bonds and China Properties Group said it defaulted on $226 million worth of notes.
What does this distressing news mean to everyone outside of the People’s Republic? Really, not a thing unless you have transferred all that excess cash stored in your mattress into Asian real estate stocks on the Shanghai Stock Exchange (SSE). It’s just that as a human being I feel sad when I hear of any misfortune visited upon another person, friend or foe alike. So to my fellow humans in Shanghai, Beijing, Hangzhou, Chongqing, Tangshan, Fuzhou, Tianjin, Ningbo, Wuhan, Nanjing, Wuxi, Dongguan, Xi’an, Zhuhai, Zibo and Little Havana, I say “Stand Tall.” You have nothing to be ashamed of. In the U.S. this is a standard business practice called Chapter 11, Bankruptcy. Just another way for select billionaires to screw the working man. If you do it enough here you can get elected President!