1) In an interesting article in Forbes today. Gordon Chang is skeptical about an economic recovery in China. If Gordon Chang is right this is not good news for the global economy.
According to Chang,
"So, as big as all of Beijing's spending programs are--they could end up being about 18% of GDP and the largest in the world on a percentage basis--they are not enough to stop the country's accelerating decline for more than a few quarters. China was once in a supercycle upward. Now it has turned a corner and is in a supercycle in the other direction. At some point, this will become evident, even to the World Bank. "
Yikes but I'm sure Jim Rogers would disagree with this analysis. It will be interesting to see who ends up being right.
2) China is buying record amounts of iron ore. Read about it here.
3) The US dollar falls as China calls for a global currency. Read about it here.
4) China is trying to hedge against its dollar holdings. Very smart move I say because there are budgets deficits in the United States as far as the eye can see. One way they are hedging is by buying gold.
Posts
No comments:
Post a Comment