BEIJING (Dow Jones)--Stress tests found the scope of risk from real-estate loans in China is controllable, but the "bottom line" for a fall in real-estate prices is 30%, China Banking Regulatory Commission Assistant Chairman Yan Qingmin said Saturday.
Raise your hand if you think China has any top tier cities that are only 43% overvalued.
Eh, so what, the central government will just use all that cash to bail out the banks, right? In one of his interviews, Chanos insists those holdings are tied up in sterilizing the exchange rate and aren't actually available. I have a feeling we'll be finding out.