Asian shares get a boost after data showed Chinese banks making large new loans. Commerzbank's Peter Dixon says the authorities have stepped up to the plate, making it look likely that China will avoid a hard landing.

SHOWS: LONDON, ENGLAND, UK (REUTERS - ACCESS ALL) (APRIL 11, 2013)

1. COMMERZBANK GLOBAL FINANCIAL ECONOMIST, PETER DIXON, SAYING:

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(QUESTION: Ample credit in the Chinese system it seems. That could only be good for the economy, right?)
Well I guess that's true. I mean over the course of the last six to 12 months, we've talked about the potential for a hard landing in China but obviously, the authorities have stepped up to the plate. And there was a bit of a surprise I guess in the sense that there was a general feeling that the authorities overdid the monetary easing in '08, '09 and a huge amount of liquidity had been pumped into the system and it was time to take some out. But now, we found that policy has been reversed and I think it does bode well for Chinese GDP over certainly this year and possibly well into next.
(QUESTION: A couple of items to watch in Europe, an Italian bond auction at 0300 or I guess on the back of the BOJ, this is going to be interesting.)
Yeah. I mean the demand for Italian paper has been reasonably good so far this year despite all the concerns about where Italy is heading. And as you rightly point out, given the fact that the Japanese have kick-started a new wave of quantitative easing, I think that's going to be a tide which lifts all boats, including Italian bonds.
(QUESTION: Sure. And at finance ministers' meeting in Ireland, news yesterday about these extensions that Ireland and indeed Portugal will be given. Do you think - I mean that's going to be discussed. How much of a precedence do you think that will set?)
Well I think it basically is a reflection of the reality that the problems in both of these economies were so deeply entrenched that it was always going to be difficult for these markets, these economies to come back to the market, perhaps quite as soon as had been anticipated. To be fair, Ireland's made a good start but Portugal certainly needs a lot more time before it's going to be able to tap the market again.
(QUESTION: What do you make of what we've got from the Fed yesterday, the diverging views on where to stop the bund buys?)
As you said, divergence. I mean the general view is this is going to be determined by what happens to the economy. My guess is that over the course of the next few weeks, once the Federal Reserve begins to take into account this slightly weaker data we've seen of late, maybe we will see a little bit more of a pre-election towards pushing out the data in which QE stops.'