China's latest stimulus effort unintentionally creates chaos in its financial markets as short-term rates hit 50%

• China's bid to provide stimulus through increased bond issuance has led to a cash crunch, Bloomberg reported.
• This week, banks issued a form of short-term debt at the highest volume on record.
• Last week, some smaller lenders had to borrow short-term cash at a 50% rate.

China's latest effort to support economic growth has unintentionally fueled a massive cash crunch, creating chaos in its financial markets, Bloomberg reported.