Investing.com - The yuan faces risks from asset bubbles and soaring debt.
An estimated 52 million empty homes in China, 90% of which bought for investment purposes.
Shanghai Composite falls to 3,000 from over 5,000 mid-2015 fueled by margin debt.
Corporate debt at over 150% of GDP; total debt estimated as high as 280% of GDP.
Consumer credit has grown by over 300% in past six years. Could hit 53 trillion yuan by end 2020.
Authorities have tapped huge foreign currency reserves to stop yuan falling too quickly.
But reserves falling toward $2.8 trillion level the IMF sees minimum prudent level for China.
Leaving yuan to fall freely could spark capital flight. Hiking rates could see asset bubbles burst.