Juggling Dynamite

Secular mean reversion in the world’s second-largest economy and largest consumer of global commodities has far-reaching implications for all of us.

Kyle Bass, Hayman Capital Management founder and CIO, joins ‘Squawk Box’ to discuss the state of U.S.-China relations amid rising tensions, China’s economic woes and real estate crisis, and more. Here is a direct video link.

Unfortunately, a decade of loose money and misallocated capital has set Canada up for a period of hard return.

David Rosenberg, President and Chief Economist & Strategist of Rosenberg Research & Associates Inc., talks with Financial Post’s Larysa Harapyn about how Canada will get a recession ‘earlier and harder’. Here is a direct video link.

Why so glum, Canada?

One of the weakest readings on record in Sept per Conference Board. pic.twitter.com/pYo7rOCZvf

— Ben Rabidoux (@BenRabidoux) September 27, 2023

Shares in the Chinese property firm Evergrande have fallen as problems in the country’s struggling housing market deepen – affecting the wider economy. Its mainland unit Hengda Real Estate has defaulted on 4bn yuan (£449m; $547m) of debt, it revealed on Monday. The BBC’s Analysis Editor Ros Atkins examines the background to the current crisis. Here is a direct video link.

Canada has been connected to China’s economy via capital flows as well as our commodity exports. As housing bubbles deflate globally, Canada is extra-vulnerable.