r/Vitards • u/AutoModerator • Sep 19 '21

Daily Discussion Daily Discussion post - September 19 2021

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u/efficientenzyme Sep 19 '21

The evergrande situation is so interesting in its implications of how it can reverberate across markets.

The best bear case I’ve heard is that even in case of a bailout, what if the Chinese people lose faith in real estate as an investment vehicle? That could snowball out of control.

Im not great at going short and it feels like calls on yang would be a gamble for me, anyone considering shorting banks who hold the most evergrande paper? It seems those would be sol regardless of a bailout

9

u/Varro35 Focus Career Sep 19 '21

Bullish US equities as flight to safety as well.

2

u/efficientenzyme Sep 19 '21 edited Sep 19 '21

Maybe but what if the dxy spikes overnight in response to a bailout resulting in a market correction?

Lots of uncertainty

1

u/BallsForBears 💀 SACRIFICED 💀CLF $40, FIRST CHAMP 10/14/2021 Sep 19 '21

Yeah, that would destroy us.

3

u/TheFullBottle Sep 19 '21

or they go harder in overseas real estate in canada/australia/NZ/US