Carr: China Could See Second-Half Inflation Threat

The transcript discusses the steadying of the economy with slowing investment growth, questioning the real versus artificial stabilization due to government interventions. It highlights the impact of supply side reforms, particularly in the coal sector, where investment and production are declining. Concerns about debt, especially in local government financing, are addressed, noting potential issues in the private sector and shadow banking. The discussion also covers global economic trends, disinflation, and inflation risks in China, emphasizing the challenges in adjusting monetary policy.

Discuss the potential impact of credit supply adjustments on the Chinese economy.

In what ways could inflation pose a risk to the Chinese economy in H2?