Texture via Reuters:
Benchmark Dalian iron ore futures jumped in morning trade on Wednesday, extending gains for a second session, after China’s Premier Li Keqiang again vowed to ensure that key economic goals for this year are achieved.
China should keep macro policies stable, improve the use of local government special bonds and strengthen support for the real economy, state television cited a state council meeting chaired by Li on Tuesday.
Nothing terribly exciting there. What about next year? To the charts:
Spot stable. Paper down overnight. Steel still levitating. Port Hedland shipments were up 5% year on year but are clearly being managed.
Hong Kong disintegration now raises the risks. I expect any shock emananting from martial law to be met with stimulus so let’s not get too bearish.
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.