China's deleveraging pain puts investors on alert for signs of contagion

Tokyo

WHAT may be shaping up as China's most concerted effort yet to bring its credit boom under control is spurring investors to gauge any contagion to broader financial markets, a-la 2015, when Chinese turmoil caused global ructions.

Policy makers' moves to crack down on leverage have already wreaked about US$500 billion of financial damage domestically, and - along with evidence that economic growth may be peaking - are dragging on industrial metals and iron-ore prices globally.