💸 China Sees Record Capital Outflow in July
Mainland investors moved $58.3B overseas last month — the biggest monthly outflow since 2010.
📈 Why?
Beijing expanded Stock Connect with Hong Kong
Loosened rules for overseas portfolio investing
Result: Mainland buyers flooded into Hong Kong stocks
Even though banks had a $22.8B FX surplus, the massive buying spree tipped the balance into deficit.
Economists warn:
Outbound demand could weaken the yuan
Makes it harder to manage liquidity + market reforms
#ChinaFinance #CapitalOutflow #StockConnect #HongKongStocks #YuanWatch #