October lending slows but liquidity does not decrease

The report of the Central Bank of 11th, published monthly statistics show that October yuan loans increased by 253 billion yuan, the data than the September chain significantly lower.　　Economists believe that, although new lending has begun to slow, but due to the improvement of foreign trade and hot money pressure, the future liquidity situation will continue. Although loan growth began to slow down, but as foreign trade continued to be good, external liquidity is loose, the money supply growth continues to accelerate. At the end of October, the broad money supply (M2) balance was 58.62 trillion yuan, an increase of 29.42%. The narrow money supply (M1) balance was 20.75 trillion yuan, an increase of 32.03%.　　Chen, senior macro analyst at Joint Securities, said M1 growth continued faster than M2 growth, reflecting market liquidity remains lax.　　Experts in an interview with the economic reference newspaper, said the October credit growth has fallen sharply in the expected. "Credit growth in October has historically been low for the year, and the sharp fall in September was expected, and the 253 billion per cent increase in the new year was still larger than last October."　　"CCB senior researcher Zhao said. Yongjian-Jin Research center, said that the new loan significantly fell back mainly by the holiday factors and the late quarter "rush time" factors disappear double impact, is a seasonal decline. Moreover, window guidance and the strengthening of capital supervision, as well as the Bank's initiative to adjust the pace of delivery is also an important factor. "In October, Bill financing continued to fall, excluding bills financing negative growth, the new substantive loans are 456.9 billion yuan." "said Yongjian.