China Economy

Cross-posted from Investing in Chinese Stocks.

From the World Bank late yesterday: …a significant slowdown in China, though unlikely, would exert large spillovers, particularly on commodity exporters.

The dollar has just taken a hit on the release March Chinese trade data which expectations to say the least.

Cross-posted from Investing in Chinese Stocks.

China has released its March inflation figures and they’re still very weak with the CPI at 1.4% y/y and PPI at -4.6% y/y: There is no impediment here to further easing if the PBOC wishes it.

From Bloomie metals analyst Kenneth Hoffman following his return from a China trip: What he saw: idle cranes, empty construction sites and half-finished, abandoned buildings in several cities.

Cross-posted from Investing in Chinese Stocks.

Cross-posted from Investing in Chinese Stocks.

Cross-posted from Investing in Chinese Stocks.

From former China uber-bear, Hugh Hendry: So much is written about China, and of late very little has been bullish.

Another spooky parallel between China and Australia today. Cross-posted from Investing in Chinese Stocks. The latest PMI report (2015年3月中国制造业采购经理指数为50.1%) gave a reading of 50.1, barely positive.

Cross-posted from Investing in Chinese Stocks. CREIS reports prices in its 100 city index fell 0.15% in March, down from the 0.24% decline in February (in January, CREIS reported an increase in prices).

The second of China’s PMIs (the official version) is out for March and did better than the private HSBC measure managing to flop over the line into expansion up 0.2 points to 50.1.

From SCMP: A senior executive at one of China’s largest steel companies is being investigated on suspicion of corruption, as the Communist Party’s anti-graft watchdog shifts its focus to major state-owned enterprises.

Cross-posted from Investing in Chinese Stocks.

The People’s Bank of China (PBOC) has cut mortgage rates again overnight from Dad’s Army: …the minimum deposit for individuals buying additional housing would be set at 40 per cent, according to a statement on its website.

From the FT: Most listed mainland homebuilders recorded a steady rise in revenue last year, but sharp declines in profit for many are a symptom of aggressive price-cutting designed to shift stock and generate much-needed cash in the debt-laden sector.

From Bocom International Holdings Co.

Cross-posted from Investing in Chinese Stocks.

From BNP Paribas via FTAlphaville: Against all odds, the best performing asset class on the planet over the last nine months or so has been Chinese equities.

FromWestpac: The Westpac MNI China Consumer Sentiment Indicator, hereafter the Westpac MNI China CSI, increased by 2.7ptsin March, printing 114.7 versus 112.0 in February, +2.4% over the month and –2.0% over the year.

When comparing the deflating Chinese property bubble to that of the US a few years ago there is one very important difference to bear in mind.

This won’t help iron ore (or maybe it will in this upside down world): Flash China Manufacturing PMI™ at 49.2 in March (50.7 in February).

Cross-posted from Investing in Chinese Stocks.