China capital outflows to widen further, but situation better for now: Natixis
HONG KONG – Global asset manager Natixis says its capital flow tracker points to outflows of US$152 billion from China in Q2 2017, revised from a previous estimate of US$144 billion. This is higher than US$95 billion in Q1 2017.
“Although capital outflows continue, foreign reserves have remained stable due to the weakening dollar index, with a stronger euro contributing positively as a valuation effect,” Natixis says.
“However, reversal of the dollar index could increase the depreciation expectation and hence worsen capital outflows from China.” www.natixis.com (ATI).