Anyone that’s in the know understands that BHP is the round boy of the resources sector. It has an innovation-destroying middle management waste line that allows RIO to run operational rings around it.
But even this stodginess does little to explain its slowness to adapt to a realistic outlook on China:
BHP Billiton chief executive Andrew Mackenzie has declared that China has “begun to bottom” and has backed the view of Apple chief executive Tim Cook that there is still solid demand in the economy.
…Mr Mackenzie cited an email sent by Mr Cook on Monday to CNBC host Jim Cramer in which the Apple boss said he received “updates on our performance in China every day” and “I can tell you that we have continued to experience strong growth for our [iPhones and aps] in China through July and August”.
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David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal.
He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.
