--- title: "The social financing data was delayed for a few days and released after the market closed on Friday. What a thoughtful move!" type: "Topics" locale: "en" url: "https://longbridge.com/en/topics/21853638.md" description: "The highly anticipated social financing data was delayed for four days and released after the market closed on Friday. Everyone should now understand the authorities' good intentions to protect the retail investors in the A-share market, right? Regarding this social financing data, Brother Cai will make a few points: First, let's review how much loans were issued in May 2023. The household sector borrowed 367.2 billion yuan, and how much of that was mortgage loans? 168.4 billion yuan. Just looking at last year's data, it was already a dismal figure. So, how much did we borrow in May this year? This data 'again' (you know what I mean) wasn't directly disclosed..." datetime: "2024-06-15T08:24:11.000Z" locales: - [en](https://longbridge.com/en/topics/21853638.md) - [zh-CN](https://longbridge.com/zh-CN/topics/21853638.md) - [zh-HK](https://longbridge.com/zh-HK/topics/21853638.md) author: "[读财报话新股](https://longbridge.com/en/profiles/794333.md)" --- # The social financing data was delayed for a few days and released after the market closed on Friday. What a thoughtful move! The highly anticipated social financing data was delayed by four days and released after the market closed on Friday. Everyone should now understand the authorities' painstaking efforts to protect retail investors in the A-share market, right? Regarding this round of social financing, Brother Cai will make a few points: **First point:** Let's first review how much ordinary people borrowed in May 2023. Household loans totaled 367.2 billion yuan, with mortgage loans accounting for 168.4 billion yuan. Just looking at last year's data, these numbers were already dismal. So how much did we borrow in May this year? This data was "once again" (as everyone knows) not directly disclosed. Instead, the cumulative figure for the first five months was used (avoiding monthly breakdowns—such a tactic!). Based on our calculations, ordinary people borrowed a total of 75.7 billion yuan in May, with mortgage loans accounting for only 51.4 billion yuan. ![Image](https://pub.pbkrs.com/uploads/2024/d0e812b5b9570ff8ee27fd2144f33972?x-oss-process=style/lg) The numbers are shocking once you do the math. **Last year's figures were already bad enough, but compared to May this year, household borrowing decreased by 385% YoY, while mortgage loans fell by 227% YoY.** These figures are truly devastating. ......... This proves two things that haven't worked well: First, banks are doing everything they can to stop people from repaying mortgages early, but it seems they can't curb the public's determination to pay off their loans. Second, major cities introduced policies to stimulate the real estate market in May, but the effects appear minimal. **Second point:** Why did May's social financing increase by 2.07 trillion yuan, yet the authorities still obscured the data by only disclosing the cumulative figure for the first five months instead of May alone? ![Image](https://pub.pbkrs.com/uploads/2024/d3a2dde71d8dddfc36ae8981d4fa8f95?x-oss-process=style/lg) That's because the government itself accounted for 2.49 trillion yuan of the increase, with 1.23 trillion yuan added in May alone—the main driver of this month's social financing growth! **Whether it's direct or indirect financing, the private sector has completely flatlined.** **Third point:** M1 money supply was 66.01 trillion yuan in April but dropped to 64.68 trillion yuan by the end of May. ![Image](https://pub.pbkrs.com/uploads/2024/323a2450a6b0c6b1f17e57ebd91b852b?x-oss-process=style/lg) **The total amount of liquid money, which reflects economic activity, is continuously shrinking.** ........ After last month's social financing data—the worst in two decades—and now May's figures, **Brother Cai wants to emphasize that he has never seen a bull market emerge while M1 is still declining (so, stop talking about a bull market).** Other subcategories aren't even worth discussing. For the sake of political correctness, Brother Cai still firmly believes that China's long-term economic fundamentals remain unchanged, and these are just temporary difficulties. In July, we have the globally anticipated X meeting—is the second half of the year worth looking forward to? $TENCENT(00700.HK) $Alibaba(BABA.US) $PDD(PDD.US) That's all for today's analysis. Did you find this article helpful? I'm "Reading Financial Reports & Discussing New Stocks," an ordinary investor who enjoys analyzing financial reports, specializes in Hong Kong IPO subscriptions, and invests across Hong Kong, U.S., and A-shares with a long-term focus and short-term supplements. 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