China Money Outflow Goes Quiet, for Now, as Stability Reigns

  • Reserves have steadied, capital outflows have cooled
  • Fragile sentiment could trigger a resumption in cash exodus

China Data Paints Picture of Stabilization

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A year after global markets were shaken by a surprise China devaluation, they are now becalmed, and pressures for an exodus of capital from the nation have eased.

Diminished expectations for U.S. interest-rate increases have helped stem the tide. Authorities also have cracked down on savers squirreling money out through everything from dubious invoicing to purchases of overseas insurance products.