Fitch:"China's toxic debt pile may be 10 times official estimates"

http://www.cnbc.com/2016/09/23/chinas-toxic-debt-pile-may-be-10x-official-estimates-fitch.html

For those who aren't familiar with Fitch Ratings, they're considered the third most 'prestigious' credit rating agency in the world, after Standard & Poors and Moody's.

 

Given those rating agencies track records, That's not good company to be associated with.

 

Given that China's track record for honesty and disclosure is so exceptional.......not.

I'd bet there is plenty of potential for a collapse in their economy due to overwhelming debt, and it could happen very suddenly.

 

Have you guys watched the "The Big Short'? - - - Very educational!!! - in one part it puts forward the scenario of ratings agencies being 'paid off' - e.g. Big cheque=good rating - small cheque = bad rating.
Ratings agencies, as far as I'm concerned are a 'pay 2 play' farce and mean absolutely nothing.

just my 2

 

Track Record?
How about The US track record or telling the truth? ...and for that matter, America's buttplug = Australia!
Those in glass houses shouldn't throw parties...it might shatter your illusion.
But But But...Russia and china are the enemy, it has to be them - - - or are you just regurgitating what the MSM is pumping? :/

Honest question

just my 2

 

Wow. Angry sort of chap, aren't you? Run out of your meds?

 

No...just questioning your sources - not angry at all.

 

"When the debate is lost, slander becomes the tool of the loser." ~ Socrates

 

Don't worry too much about China, they have biggest source of cheap labour in the world.

 

More coverage: http://www.telegraph.co.uk/business/2016/09/18/bis-flashes-red-alert-for-a-banking-crisis-in-china/

And yes, it could be huge. And yes, ratings agencies are in on the game because it is profitable, and yes there is a revolving door between government regulators, financial institutions and ratings agencies, and yes all these people bullshit us (and themselves) to make a buck, and yes there is corporate & political pressure to remain both quietly upbeat and also wilfully blind on really serious risks.... and lots of other stuff too no doubt.

But in the end it is us who will suffer the most if we take everything at face value and fail to ready ourselves for a range of potential future scenarios.

 

"On Face Value"

Very important point.
Peope are too willing to accept the narrative & refuse to do their own due diligence and actually research for themselves. People are all to willing the just watch the MSM news, which for the most part is total lies (then distract you with football scores )
Wilfully Blind? - is an understatement - denial on behalf of the public? now there is the crux.

The 'public' believe anything these accessories the international crime (the MSM media) tell them.
So skippy really apprehended that koala smuggler? - i don't think so :lol:

 

Junks + $$$ = AAA, provided no once check what is inside.

junks without the money, the rating agency's own rating is at risks.

it all junks to begin with, junks rating agency buying insurance covering their ass

when you bribe the rating agency to place 10 X of bad reporting, they would gladly do that, the money they received can spit out bad news or good news depending on the intention of the payor they report bad thing so that they can buy them all up on the cheap.

the opposite of giving AAA rating, so that they can get top % fees, when the junks got sold for top $$$, now they want it for for cent in a dollar to swallow up all other people's assets, its harder to prove manipulation remember B. Madoff

 

Hopefully they are not bankrupt or entering the GFC, because if they do, the price of gold could potentially drop lower due to no demand from them (Chinese people) anymore.

And also Australian property as well.