MNI BRIEF: China End-Sep M2 Edges Higher, New Loans Quicken

China's M2 money supply growth rebounded to 8.3% y/y in September from August's 8.2%, data released by the People's Bank of China on Wednesday showed, outpacing the median forecast of 8.2%. Among the key metrics, M1 growth slowed to 3.7% y/y from the previous 4.2% gain, while M0 rose 5.5% y/y, decelerating from the 6.3% gain in August.

Aggregate financing was CNY2.9 trillion, little changed from CNY2.96 trillion in August, underperforming the median forecast of CNY3.05 trillion. On an annual basis, it grew 10.0%, slower than the 10.3% growth last month. New loans rose to CNY1.66 trillion from CNY1.22 trillion, also lower than the median forecast of CNY1.81 trillion.

Shadow banking transactions fell by CNY213.7 billion, compared to the reduction of CNY105.8 billion in August. Among which, entrusted loans and trust loans fell by CNY2.3 billion and CNY212.8 billion, respectively, while undiscounted bankers' acceptances rose by CNY1.4 billion.