EghtesadOnline: Chinese banks’ leverage fell for the first time in seven years as the government’s campaign to curb risks in the $40 trillion financial system started to bite.

EghtesadOnline: Call it China’s Great Ball of Money, Whac-a-Mole Finance, or simply a whole lot of liquidity. Whatever term you use for the excess credit trapped in China’s financial system, few would deny that predicting its sometimes erratic movements can be a money-maker for analysts, traders and investors.

EghtesadOnline: China's central bank is considering including cross-border yuan business into its assessment of macro-prudential risks in the country's financial system, online finance magazine Caixin reported on Saturday, citing unnamed regulatory sources.

EghtesadOnline: China’s financial system is becoming significantly more vulnerable due to high leverage, according to central bank governor Zhou Xiaochuan, who has made a series of blunt warnings in recent weeks about debt levels in the world’s second-largest economy.

EghtesadOnline: Regional banks in China’s rust-belt provinces are driving the rapid expansion of shadow banking in the country, fueling a web of informal lending that poses wider risks to the financial system, according to a study by UBS Group AG.

EghtesadOnline: The People’s Bank of China has surprised many with its tolerance for market pain as it squeezes leverage in parts of the financial system.