2015-07-27 — zerohedge.com
... the unwind has probably just begun and as BofAML notes, "most leveraged positions may suffer from losses likely in Rmb trillions'' That is unless Beijing moves to "take on substantially all of the leverage." This harkens back to comments made on July 18 by Finance vice-minister Zhu Guangyao who noted that "the key is what step the financial regulator should take after the stock market is stabilised, including the withdrawal of the intervention methods."
... there really is no right answer here and indeed the PBoC may now be in a position that's become all too familiar for DM central banks. That is, an exit simply isn't possible.
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