Chinese growth expanded significantly in Q2, rising 6.9%. Retail sales, investment, industrial output also beat estimates, but authorities remain wary. People’s Daily – the official newspaper of China’s Communist Party – warned that the build-up of debt across the Chinese economy is a “gray rhino” that should be closely watched.

From bear markets to black swans, financial markets love using animal references to describe anything and everything. From investor sentiment to impending events, references to the kingdom Animalia hail all the way back to the days of John Maynard Keynes.

Here’s another one to add to your arsenal. Gray rhino is a term that was popularized by Michele Wucker in 2016. It describes a highly probable, high impact threat that should be anticipated, but quite often isn’t – like the Greek debt crisis.

Think of it as a mix between ‘the elephant in the room’ and a ‘black swan’ – a highly improbable and unexpected event that is very disruptive to financial markets.

Chinese growth expanded significantly in Q2, up 6.9%. Retail sales, investment, industrial output also beat estimates, but authorities are wary. People’s Daily – the official newspaper of China’s Communist Party – warned that the build-up of debt across the economy is one such “gray rhino” Monday morning.

While we saw some fallout in domestic Chinese stocks, the yuan pushed higher to trade near 8-month highs.