Jason talks about another Chinese bank in trouble. This time it is the much larger, Bank of Jinzhou rather than Baoshang Bank. And now that a larger bank is in trouble, this rising counter party risk between Chinese banks could mean that Chinese banks stop lending to each other entirely without the PBOC guaranteeing all the loans.
Jason Burack is an investor, entrepreneur, financial historian, Austrian School economist, and contrarian. Jason co-founded the startup financial education company Wall St for Main St, LLC, to try to help the people of Main Street by teaching them the knowledge, skills, research methods, and investing expertise of Wall Street. You can also find Jason's work at his blog website at www.jasonburack.com.