Episode Details

There are reports HK bankers are already informally discussing how to structure a "bad bank." Earlier today, other reports said monetary authorities in Hong Kong were circulating the "crisis letter." The situation has taken a turn for the serious, a warning to the rest of the world because what HK is trying desperately to come to grips with is the same major problem as everyone else has, where the bubbles and now busts came from in the first place. 

Eurodollar University's Money & Macro Analysis

******
https://eurodollaruniversity.substack.com/

Eurodollar University's Anniversary Sale
https://www.eurodollar.university/sale
******

HKMA's "Crisis Letter"
https://www.hkma.gov.hk/media/eng/publication-and-research/reference-materials/banking/fa03.pdf

Bloomberg Hong Kong Regulators Revive Crisis Playbook to Rescue Landlords
https://www.bloomberg.com/news/newsletters/2025-07-22/hong-kong-regulators-revive-crisis-playbook-to-rescue-landlords

Bloomberg Hong Kong’s $25 Billion Pile of Soured Debt Spurs Talks to Form ‘Bad Bank’
https://www.bloomberg.com/news/articles/2025-07-16/hong-kong-s-25-billion-debt-woe-sparks-talks-on-bad-bank

Fitch Lower HIBOR May Not Fully Address Hong Kong Banks’ Asset Quality Pressure
https://www.fitchratings.com/research/banks/lower-hibor-may-not-fully-address-hong-kong-banks-asset-quality-pressure-19-05-2025

HIBOR rates
https://www.hkab.org.hk/en/rates/hibor

https://www.eurodollar.university
Twitter: https://twitter.com/JeffSnider_EDU