China’s slumping real estate sector back in the spotlight. The country’s top private property developer, Country Garden, saying it’s expecting to lose up to $7.6 billion this year.
Shares tumbled Friday in Hong Kong (stock exchange) leading to a fresh round of jitters through the market. That’s as memories of the infamous Evergrande collapse resurface.
Real estate used to account for about 30 percent of China’s GDP, being one of the main engines of China’s economy. Now it’s just the latest in a string of economic woes: from youth unemployment to falling exports, to the economy sliding into deflation in July.