Chinese bank stocks remain weak and asset quality may worsen

Source: Internet
Author: User
Keywords Banks credit
Tags asset bank of china bank of communications bank stocks banking system communications credit financing
China's banks, which had been confirmed by the surge in lending enthusiasm in June but 00939-hk the regulatory signals, fell by more than 3% per cent in the 03328-hk of the CCB and Bank of communications, admitting that the investment bank (03968-HK), which was undecided about the details of its financing, also spat 2.1%, and ICBC (  01398-HK) and the Bank of China (03988-HK) were soft near 2%, while the single Citic Bank (00998-HK) ran a 0.2%-dollar run to win the big city.  The rapid growth in China's credit scale in the first half of 2009 could increase the pressure on the banking system, according to S & P, and it is expected that China's asset quality may deteriorate this year and credit risk will increase. Liao, a credit analyst for poor and poor, said asset quality could fall further in 2009 but should remain manageable. The size of the pressure will depend on macroeconomic conditions at home and abroad. If the slowdown in China is prolonged, the quality of future microbicides assets will deteriorate sharply. However, according to Standard and Poor's current economic forecasts, the banking system should have the strength to deal with the deterioration of asset quality, but the bank's credit position may be divided.

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