• Has a negative sector outlook on Chinese banks
• Expects net profit growth for Chinese banks to be in single digits in medium term
• Believes explicit intervention from chinese authorities over bank lending may impact governance and risk management practice
• Says Chinese state banks may receive more guidance from authorities, whether explicit or implicit, in their lending in general
• Chinese banks may not be appropriately compensated for additional risks that they are taking on

Not a ringing endorsement from Fitch on China, add in bad debt issues that haven’t gone away and releveraging efforts to boost growth … not a pleasant cocktail. Issues for down the road though I suppose, for now the economic data is bouncing and China-proxy trades (and risk more generally) are liking it.