Australian interest rates

Chinese bond market prices deflation

David Llewellyn-Smith
Monday 17 May 2021
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Listen to the Chinese bond market because it tells you what is coming for the world, especially Australia. As Chinese inflation has surged in recent months, its yields keep on falling:

  • Chinese factory inflation is running high and global inflation surging.
  • Global money inflows and abundant liquidity are to blame.
  • BTFD is in action.

So, if PPI inflation is running wild:

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About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.