China’s four biggest banks are seeing a big outflow of deposits…….. a large portion of the CNY420 billion of deposits may have flowed to the high-yielding private lending markets, which have grown rapidly in recent months due to the strong borrowing demand from small businesses…….Borrowing rates in the private lending markets are typically 10 times the benchmark deposit rates, the report said. China’s one-year benchmark deposit rate stands at 3.5% now.
via China’s Big Four banks reportedly see big outflows – MarketWatch.
…A sign that monetary tightening is starting to bite.