Analysts at TD Securities note that China’s November aggregate financing and new loans came in above expectations, rising to CNY 1,750bn and CNY 1390bn, respectively, from CNY 618bn and CNY 661bn, previously.

• “M2 money supply increased by a smaller than expected 8.2% y/y, from 8.4% previously. The data are encouraging and suggest some opening of the credit taps in November. Indeed following October's disappointment when loans dropped to their lowest level in almost two years, the bounce back will come as a relief. However, given weakness in the manufacturing sector and sharp decline in industrial profits, demand for loans is unlikely to pick up significantly in the months ahead despite incremental policy easing and efforts by the authorities to push lenders to increase loans.”