I don't think so Convexity The CCP is showing less and less...

I don't think so Convexity

The CCP is showing less and less concern for western capital. Capital flight is a risk but that risk is dwarfed by not serving the peoples interest in providing opportunities and prosperity to average Chinese.

The CCP has not been overally concerned about foreign bond holders re Evergreen. Nor has it exactly placated big end of town recently.

This argument whilst understandable within a western capitalist framework makes sense, but is almost totally irrelevant for China.

it isn't tricky at all, the CCP serves its own interests. It's key interests is to stay in power. This is achieved via providing something to the average punter lest they rise up and throw. them out.

I would also question the need for foreign capital in China, they are net investors globally, not the other way around.

The other positive for them is that lower interest rates mean lower CNY and in doing so the exports become more competitive.

Overall I am firmly in the other camp. They need to ramp up the economy, not slow it down.... totally different from the rest of the world