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Evergrande teeters on edge of default as $148M payment falls due

reuters.com

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Re: Evergrande teeters on edge of default as $148M payment falls due

#401

Post by leppr »

whatever1 wrote: post #400
leppr wrote: post #351

Earlier quoted context omitted.

The reason it hasn't fallen against those other currencies is that the other currencies' supplies have increased more during this period. The printing was global, and the US not a leader on it. Against everything else than other unlimited supply currencies, fiat money has fallen dramatically. It's a simple fact, not an endorsement of anything. Everyone knows the basic mechanics of supply and demand on price, but some…

You are plain wrong. Check the most widely accepted scarce commodity: gold. Gold/USD prices are now at the level they were in 2012. Now if your argument is based on the USD price of Shiba Inu, well I have news for you.

You're cherry picking the top of the previous inflation scare-fueled gold bullrun (it's up 7x since the year 2000), and the one asset that's heavily manipulated to the downside (demonstrated by the huge premiums in physical delivery during the GME mania which weren't arbitraged away).

Convenient straw man to try and classify anyone exposing the intentionality behind today's inflation levels as a crypto shill. Almost all assets have exploded in fiat values since the start of Covid printing, not just crypto. Supply chain issues didn't affect Rolex watches and metropolis housing markets, money printing, QE and low interest rates did.

Re: Evergrande teeters on edge of default as $148M payment falls due

#403

Post by Specie33 »

ChuckMcM wrote: post #157
AlexCoventry wrote: post #95

Earlier quoted context omitted.

Do you mean Matt Levine? If not, could you give a link, please?

Yes, Matt, and I get the newsletter so I don't know where the link is, but here is an excerpt: EDIT found the link: https://www.bloomberg.com/opinion/articles/2021-09-21/evergr... From Matt Levine: It seems to me that what is interesting about Evergrande is not so much the magnitude of its debt problems but their variety. Evergrande owes money to Chinese banks. It owes money to foreign hedge funds, and foreign invest…

This is very Sam Zell no BS type advice....When a big company runs out of money, the basic questions are (1) who gets paid and who doesn’t and (2) should the government pay its debts for it? Guessing whom gets paid back first is often a great way to make a lot of money if you can monetize it. Think MBS tranches AAA or BBB. With the international real estate market being at all time highs there is a huge movement of money that will trade hands in the next 10 years. How that will happen and how to gain exposure is the 1mm dollar question. Maybe Aladdin and BLRK have the answer?

Re: Evergrande teeters on edge of default as $148M payment falls due

#404

Post by Specie33 »

mjevans wrote: post #361
ChuckMcM wrote: post #157

Earlier quoted context omitted.

Yes, Matt, and I get the newsletter so I don't know where the link is, but here is an excerpt: EDIT found the link: https://www.bloomberg.com/opinion/articles/2021-09-21/evergr... From Matt Levine: It seems to me that what is interesting about Evergrande is not so much the magnitude of its debt problems but their variety. Evergrande owes money to Chinese banks. It owes money to foreign hedge funds, and foreign invest…

Housing should be a human right, not an investment.

Give the homeless one of the houses in St Louie or Gary. They can fix it up and have a place. There is lots of housing that is not expensive but people have to WORK for it or it doesn't mean anything.

Re: Evergrande teeters on edge of default as $148M payment falls due

#405

Post by Specie33 »

mschuster91 wrote: post #106
shmatt wrote: post #72

Earlier quoted context omitted.

US government ineptness? Or US citizen ineptness. It's not the government buying this debt Now what, the government stops people from trying to make a quick buck on a high risk investments? We can start from stopping Americans from paying 7 figures for digital drawings of monkeys

> We can start from stopping Americans from paying 7 figures for digital drawings of monkeys NFTs are even more moronic than that: they are nothing more than links to external content - Tweets, images, videos, whatever. Meaning that everyone who wants to see and reproduce the content you paid a million dollars for only has to download and dump the corresponding blockchain... and also meaning that you are the proud ow…

There is other value than the current outlook on NFT's. It is a record of a digital thumbprint. This is really the value of all blockchain based tech.

The example i use is this. Think of the Green Rolling Hills photo that was on however billion windows desktops. The original owner could have copyrighted that photo and registered its first upload onto the blockchain. It is registered then as the first photo of a very specific high use photo and i would say that digital asset has a value.

Crypto Kitties etc are not my cup of tea, its the value created by the option of the tec that i think will have ramifications. I am working on a project in this space currently.

Re: Evergrande teeters on edge of default as $148M payment falls due

#406

Post by mschuster91 »

Specie33 wrote: post #405
mschuster91 wrote: post #106

Earlier quoted context omitted.

> We can start from stopping Americans from paying 7 figures for digital drawings of monkeys NFTs are even more moronic than that: they are nothing more than links to external content - Tweets, images, videos, whatever. Meaning that everyone who wants to see and reproduce the content you paid a million dollars for only has to download and dump the corresponding blockchain... and also meaning that you are the proud ow…

There is other value than the current outlook on NFT's. It is a record of a digital thumbprint. This is really the value of all blockchain based tech. The example i use is this. Think of the Green Rolling Hills photo that was on however billion windows desktops. The original owner could have copyrighted that photo and registered its first upload onto the blockchain. It is registered then as the first photo of a very…

Why do you need a blockchain with all the environmental waste (CO2 from electricity generation as well as heaps and heaps of eventually discarded mining equipment) for the purpose of maintaining who is the owner of the copyright for a piece of work?

That's what the US has the Copyright Office for ffs!

Re: Evergrande teeters on edge of default as $148M payment falls due

#407

Post by timomax2 »

baybal2 wrote: post #152
boplicity wrote: post #128

Earlier quoted context omitted.

> The dollar spiked past a key technical level today. I don't know much about "technical" forex trading, but I can say that USD/CNY didn't really change today, neither did USD/CAD, or USD/GBP. Everything is around where it's been over the past few weeks. Are you saying the real exchange rates will significantly change soon?

Short term USD/CNY is clamped by Chinese government currency purchases. People will only notice when China decides its FX is running low

Hmmm. Chinese currency is fundementally undervalue though. I don't think this "running low" can happen. Chinese business and gov must have vast USD assets.

Re: Evergrande teeters on edge of default as $148M payment falls due

#408

Post by torstenvl »

kesselvon wrote: post #384
m0zg wrote: post #303

Earlier quoted context omitted.

Lehman Bros was, relatively speaking, also a "fart in the wind" - it all started with $2.8 billion loss (not even default). Things kinda snowballed massively from there though, over the course of a few months to the point where it was a threat to the global financial system. The fear is the same could happen in China as well.

Lehman was allowed to go bankrupt, which in the UK forced the immediate cessation of operations (in the U.S., the firm can still operate even if its bankrupt). That was the equivalent of shifting to park on a car moving 80 miles an hour, especially as they froze their prime brokerage. The blow up probably could have been less severe if they smoothed the landing.

That's interesting. What is the expected method to emerge from bankruptcy, or at least protect investors and creditors, if a business must cease operations?

My intuition (and the presumption in the U.S.) is that a market position allows a business to dispose of inventory in normal commercial channels more profitably than auctioning it at wholesale in a Chapter 7-style liquidation. Hence first-day motions in U.S. bankruptcy courts.

(Disclaimer: I worked on the Lehman Brothers bankruptcy but did not represent any U.S. or U.K. subsidiaries.)

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