The Fed has warn The pressure of China’s real estate industry “brought some risks to the US financial system”, indicating that debt-laden real estate companies like Evergrande are a potential source of global contagion.

“Given the scale of China’s economic and financial system and its extensive trade links with other parts of the world, China’s financial pressure may put pressure on global financial markets through the deterioration of risk sentiment, pose risks to global economic growth, and affect the United States,” the Federal Reserve It warned in its semi-annual financial stability report.

On the domestic front, the Fed also warned that a “surge” in interest rates may lead to a “significant” correction in risky assets. In addition, a reduction in housing demand may lead to a fall in housing prices. As corporate borrowing costs rise, employment and investment may also be hit.

The U.S. Central Bank stated that it is concerned about China because the country “is still huge in corporate and local government debt; the financial sector is highly leveraged, especially small and medium-sized banks; and real estate valuations have been pushed up”.

Do you think the pressure of the Chinese entity sector will bring global risks?Tell me what you think [email protected]. Thank you for reading FirstFT Asia.This is the rest of the news-Emily

There are five more stories in the news

1. After Musk’s Twitter poll supports the sale of shares, Tesla’s share price has fallen Tesla stock closes Down nearly 5%Millions of Twitter users surveyed by CEO Elon Musk concluded that he should sell his 10% stake in the electric car manufacturer to make it in the S&P 500 Index The second-worst-performing stock is also the biggest drag on the index.

2. Toshiba considers splitting itself into three companies This proposal is just one of several proposals that Toshiba is discussing because Japan’s most famous corporate group seeks Rebuild its market value And to meet the needs of rights protection shareholders.

3. The U.S. accuses two people of ransomware attacks The authorities have File a criminal charge The role played by a Ukrainian and a Russian national in the high-profile ransomware attack is part of the global fight against digital ransomware groups.

4. SoftBank announces $8.8 billion share repurchase Sun Zhengyi, founder of Softbank, pledged to provide 1 trillion yen (8.8 billion US dollars) Share repurchase plan In the next 12 months, after the company’s Saudi-backed Vision Fund disclosed a record quarterly loss of 825.1 billion yen, investor pressure gave in.

5. Xi Jinping laid the foundation for the third term Xi Jinping has summoned hundreds of senior CCP officials to Beijing for a meeting, which is expected to pave the way for the meeting Historic third termMao Zedong and Deng Xiaoping are the only two leaders in the 100-year history of the Communist Party of China who have won their third terms.

COP26 summary

Moral money today, our sustainable finance newsletter, five things to watch at COP26 this week.Click on here Read and register for the newsletter, which will be published every working day during the Glasgow Summit.

the day before

British Foreign Secretary continues to visit Southeast Asia Liz Truss will travel to Thailand and Indonesia after arriving in Malaysia on Sunday.She will meet with officials in the area “Deepening Economic and Security Links” With the UK. (Reuters)

income company Report results today Including Associated British Foods, Aveva, Bayer, Coinbase, Direct Line, Mediaset, Munich Re, Nissan, Porsche, Salvatore Ferragamo and Swiss Life.

What are we still reading

China’s self-isolation is a global concern Beijing’s zero coronavirus policy is damaging international business and global governance, Gideon Rahman wroteAs the outside world transitions to low levels, contact with foreigners may seem more dangerous to China.

Tokyo subway attack exposes more subtle dangers in the city The rules that prevent the active use of train drivers have exacerbated passengers’ fears.The fear lies not only in the lonely madman, but also in the institution’s failure to recognize Need for flexibility, Wrote Leo Lewis.

Don’t throw away the chintz or billy bookcase IKEA is launching an international program to take back used items and resell them under the name “Repurchase and resell”The global furniture superpower has made a big turn in the name of sustainable development. But if IKEA now feels it is necessary to atone for the past, what about you as a consumer?

Different interpretations of inflation by central bank officials Policy makers outlined Radically different reaction Global inflation has soared. Senior officials in the United States and the United Kingdom said that although this policy change is still far away in the euro zone, interest rates in their countries may rise soon.

Tourism prepares for the post-pandemic world After losing $6 trillion during the coronavirus crisis, the global tourism industry—from hotel groups to airlines—has Uncertain future.

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Look at these Five literary homes sell. From a Georgian house in Berkshire, Jane Austen is a frequent visitor to John Steinbeck’s cottage on Long Island.