Moody's goes negative on property sector

Moody's Investors Service reported on Wednesday a "negative outlook" for the Chinese property sector over the next 12 months, citing a sales meltdown, rising inventories and tight liquidity.

The ratings agency forecast a "significant slowdown" of home sales for the period, which it said would be flat or at most up 5 percent in value terms year-on-year.

Inventory in eight cities - four first-tier and four second-tier - tracked by Moody's was about 14 months at the end of April, approaching the previous high of about 16 months in February 2012.