Banks hold enormous amounts of real estate debt, and regulators are nervous. But a fast-moving crisis is unlikely because the government has extensive control of the system.
Recent efforts by Beijing to mend ties with Washington were showing progress, but the balloon’s appearance over the United States illustrates lingering mistrust and growing tensions.
Xi Jinping’s rhetoric about redistributing wealth was aimed partly at drumming up public support. But it unnerved entrepreneurs and posed a drag on growth.