Chinese real estate is scaring the stock markets

The resilience of the Chinese economy is again worrying the markets.

Milan opened after the mid-August pause and was down more than 1%, with falls in London, Paris and Frankfurt being slightly smaller.

The surprise cut in short-term interest rates by the People’s Bank of China has investors worried as it also reflects concerns surrounding the real estate market. JP Morgan has warned of a possible default by Chinese real estate giant Country Garden.

While another financial giant, ZhongRong, has reportedly missed a string of payments on financial products precisely because of its exposure to real estate.

In Russia, the ruble recovered slightly against the dollar following the Moscow central bank’s sharp hike in interest rates.

At the opening in Amsterdam today, gas finally rose sharply to 41.55 euros. The upcoming winter season and the fear of a strike in the LNG plants in Australia are weighing on the situation.

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