Good news for Macau casino operator Melco Crown Entertainment (MPEL) – it looks like free-spending gamblers will offset any problems caused by tighter credit markets in China. That’s according to a Credit Suisse analyst who upgraded MPEL stock to “outperform” from “neutral” today. The analyst also upgraded Sands China, owned by Las Vegas Sands (LVS), but kept Wynn Reports (WYNN) subsidiary Wynn Macau at “underperform.”

Macau is the only place in China where gambling is legal, meaning that companies with a great foothold there could really cash in on consumer spending in Asia. What’s more, Credit Suisse said in a client note that the Chinese government will only be able to adopt limited measures to slow Macau’s breakneck gaming growth and that traffic to casinos will remain strong.

In a nutshell, says Credit Suisse, this trend should lead to “substantial earnings upgrades” across the sector.

It’s true that Macau Chief Executive Fernando Chui had some hard revelations in a speech today about the future of the gambling capital of the world. China is apparently going to go tough on new casino construction plans in the region, and has threatened to repossess any undeveloped land that sees undue delays from existing deals.

Other gambling stocks like MGM Mirage (MGM), Boyd Gaming (BYD) and Century Casinos (CNTY) are also affected by Macau rules. But more importantly, casino stocks are closely watching personal spending trends as the recovery takes shape. Regulations in China are a big deal, but they get second billing behind the willingness of gamblers to hit the tables.