China showed no significant let up in its money mills, with new loans still cranking out over 500 billion yuan a month, and money supply growth still expanding. China announced new loans in February 2011 of 535.6 billion yuan (about $80 billion US), versus consensus 650 billion, January 1,040 billion, and February 2010 of 728.5 billion. It would be a stretch to say that lending has slowed down significantly, but it is plausible to link it to moves by the Chinese authorities to crack down on excessive lending as part of their inflation fight (with inflation still running at 4.9%).
Should you sell in May and go away?
8 hours ago