3 replies to this topic
Posted 27 December 2010 - 06:01 PM
Beijing now has the worst traffic in the world (story Business Week). This is conducive to a functioning economy? Look like Mad Max to me. Typical of China, the response is command and control economics. Why solve the real issues when you can try to order people around? What happens to the capacity built up around supplying this industry? So much for domestic demand.
BEIJING [Beijing Cracks Down on Car Buyers]—Beijing's municipal government Thursday unveiled sweeping measures to curtail the number of cars sold in the city next year, in a bid to ease traffic chaos that could prompt similar moves in other Chinese cities and deepen an expected slowdown for the auto industry. Beijing will limit the issuance of new car and microvan license plates in the city to 240,000 in 2011, about one-third of this year's figure.
Posted 27 December 2010 - 06:06 PM
Why isn't there more mention here of the obvious severe inflationary maladjustment bust developing in China. Am I the only one spotting these stories? Just a regular read of China English online publications illustrates it. It is astonishing how the world is sleeping as this gathers steam.
Here, urban migrant workers will buy one way tickets home for the Chinese New Year:
China's money losing export sector is being shuttered. The lights are going off all over China.
This maladjustment boiling over has hardly been sudden, as China's economy is already quite weak.
Need further evidence that something nasty is developing? Go to this site and click through to Chinese shipping data. A very large peak to trough seasonal decline is underway.
There are reports of container ships travelling at reduced speed.
ISupply story on electronic exports contraction.
The Baltic Dry Index has severely rolled over dropping from 2700 in October to 1773.
Power consumption in China is well off of peak growth.
BEIJING – China’s power consumption in November stood at 346 billion kilowatt-hours (kWh), up 5.36 percent year-on-year, according to a statement released Thursday by the National Energy Administration (NEA).
Posted 27 December 2010 - 09:46 PM
Because the new story is that America is heading back to the top if for no other reason that everyone else is going to be headed down and that's good. At least that is the thing I've been seeing lately as the new year forecasts get made and all line up, as per usual. I doubt it makes sense either in terms of Americas people economy or for American assets, could be I suppose.
Making sense for the global economy may not be as important as just some good old fashioned flag waving when telling this story which is the new official consensus. As far as I'm concerned this is the story they have been waiting to tell since Obama was elected.
War is the last great hope of the incompetent to order the unwilling to attempt the impossible.
Posted 28 December 2010 - 05:13 PM
China Shanghai stock index profile A, below sma ema 20 50 200 on daily.
weekly today looks bad, below 50 sma ema
this is in line with poor OECD indicators:
Jail, not bail!
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