Chinese factory-gate inflation is threatening to turn negative, metals prices are in the dumps and industrial profits just logged their sharpest fall since 2009. Where then, are the big state-owned company bond defaults to rock the financial system, as in 2015? Last time Chinese inflation and profits collapsed, state-owned steel, coal and aluminum companies defaulted in droves, spooking global investors. This time, despite state-controlled enterprise profits diving 24% on the year in January and February, there has been barely...

Source: Wall Street Journal March 28, 2019 08:37 UTC