Explaining The Complete And Utter Collapse Of Chinese 'Exports' To Hong Kong

View this email online | Add newsletter@businessinsider.com to your address book

		Home Tech Finance Markets Politics Strategy Entertainment Advertising Retail Sports Life Monday, June 10, 2013 Explaining The Complete And Utter Collapse Of Chinese 'Exports' To Hong Kong China's exports to Hong Kong grew just 7.7% in May, down from 57.2% in April and a whopping 92.9% in March. Overall exports grew just 1%. Why the huge drop? At the time of the big gains earlier in the year, analysts said it was because the export data was "the result of disguised capital inflows, as exporters could overstate export amount in order to move yuan into the mainland." On May 5, the State Administration of Foreign Exchange (SAFE) announced that it would crack down on companies that used "merchandise trade invoices for arbitrage activities, and announced the introduction of strict limits on how much onshore banks can short or lend the US dollar," wrote Societe Generale's Wei Yao. The sudden collapse reflects the effectiveness of the government's crackdown on disguised arbitrage flows. Read » Also On Money Game Today: Veteran Advisor Reveals Investment Rules He Learned From His Father Investors Are Worried That A German Court Hearing On Wednesday Could Damage Stability In The Eurozone Advertisement CHART OF THE DAY: THE SCARIEST JOBS CHART EVER CHART OF THE DAY: US Household Net Worth Just Hit An All-Time High CHART OF THE DAY: 18 Housing Markets That Are More Overvalued Than The US Share this: Facebook Twitter Digg Reddit StumbleUpon LinkedIn The email address for your subscription is: dwyld.kwu.jobhuntportal11@blogger.com Change Your Email Address | Unsubscribe | Subscribe | Subscribe to the Money Game RSS Feed Business Insider. 257 Park Avenue South, New York, NY 10010 Terms of Service | Privacy Policy

If you believe this has been sent to you in error, please safely unsubscribe.