Historically central banks han used the types of interests as you main instrument to control inflation and influence economic activity. So, if inflation is high or the economy is low, the central bank is subject to the types of interests to cool the demand to have more onerous ones to do so. On the other hand, if the inflation is significantly below the target or the economy shows signs of weakness, the central bank lowers the types of interests to boost the demand and boost the economy.
After the financial crisis of 2008, weary previous medications are not sufficient to log your objects. The central banks of all the world have to be used las injections of liquidation as an essential weapon to initially avoid the perverse effects of the crisis and, subsequently, to maintain it elevated and increasing level of the world of countries. Se han metido en una dynamics of the one that cannot be dirty without causing a sudden deterioration of the economy and significant corrections in the valuation of activities.
This is the permanent liquidation of the sido since 2009 and is the big one responsible for the behavior of the bags of value and other activities. Ahora, in addition to the fundamentals of the economy and the businesses, hay what to take into consideration the incremental liquidation incorporated into the system by the central banks.
Se han metido en una dynamica de la that we cannot get dirty without causing a sudden enfriamiento of the economy and significant corrections in the valuation of activities
China sufre las consequences del pinchazo de su propia bubuja inmobiliaria: the volume of lives not sold, real estate projects abandoned without finalization and land not usable ascended to 4.1 logs dollars (American trillones) last year. Oh yes, the Banco Central Chino (PBoCh) intends to revive the economy of the gigantic Asian economy and, in turn, boost the depressing economy of China.
Las medidas recently adopted by PBoCh its equivalent to Draghi’s menaje in 2012 “whatever it takes” (todo lo que se necesario):
- Reduce your interest ratesof the shape that will allow 150 million chinos hipotecas that you can refinance to these new typesnegatively affecting the bank balances;
- Inyecta 1 billon renminbi (129,100 million euros) of additional liquidation;
- El Initial withdrawal to access a second life is reduced to 15%the restaurant can be financed. In the case of The prime life price can be financed at 100% of the life price;
- Se stablecen Fund financing lines, securities companies and security companies so you can buy bags;
- It was developed by one Additional credit facilities so that shared businesses and their main shareholders can compare their owned shares.
These medications were adopted on September 23 assuming one Apoyo the real estate market and there are bags. The initial reaction of them indexes of Chinese bags light of one subida de hasta el 30%but there are last days before the creción falta of additional medidas las caídas han reduce las initial subidas a la mitad.
Las readings that can be extracted of the action of the PBoCh its variations:
- Central banks cannot be liquidated. If the form owner combines the active goods, including the bags, you will not be disappointed with any returns. Liquidation injection is incremental.
- However, it is more difficult to be independent of the central bank with respect to the government. The measures to try to revive the economy are based on the inyección of large liquidated cantidates, because the intervention of the central bank is necessary.
- In other cases, we are no strangers, The high level of resistance of many states limits the operation of the central banks in the event of inflation. We cannot allow the types of interests of the bonuses to be exceeded, or if not, the invoice of those interested has to pay for the problems at the end of the turn.
- One of the main variables has take care to prevent the evolution of business markets, among them the bag, is the level of global liquidation. A greater liquidation, greater support for the valuation of the activities, even less in nominal terms. A relevant part of the liquidation in the last decade caused an inflación of the price of the activities.
Ya lo decía Christine Lagarde in April of 2023: “Sin compromising the independence of the central bank, hay que reconocer la interdependence between monetary policy and fiscal policyand cómo cada una de ellas puede alcanzar mejor su objectivo si se alinea en torno a una meta strategica”.
