More evidence of a property bubble in China, courtesy of the outspoken Andy Xie: Measuring the size of the property bubble in China by reference to the number of empty flats has become a hot topic of discussion. Recent media reports citing information from China’s electricity authority claimed that 64.5 [...]
Sep 032010
More meat for the agriculture bulls out there: (Reuters) – With the climate set to get warmer from greenhouse gases, Chinese scientists predicted on Thursday that freshwater for agriculture will shrink further in China, reducing crop yields in the years ahead. Source: Reuters Share, Print or PDF
Sep 022010
Silver is fundamentally undervalued – especially relative to gold. Both will do well during a currency crisis, according to Jim, but silver could outperform. Jim also comments on agricultural commodities in this rapid-fire Q&A session.
The following is inspired by the rumoured defection of China’s central bank governor, Zhou Xiaochuan, over $430 billion in losses on a short US Treasury position. According to undisclosed sources, the governor was facing ‘punishment’ for the losses and fled the country. The rumor was false. True or not, as [...]
This just in from Stratfor…the rumors are flying. $430 billion loss on USTs implies a short position, since USTs have been performing very well lately. Is this $430b loss net of long positions? This rumor highlights China’s ability to send the US economy into a death-spiral: Step 1) China hedges US [...]
Again…’bubble’ seems to mean different things to different people. I call it excessive speculation, risk taking and leverage.
Aug 232010
China, billionaires, social policy, food, populations, perma-bears, and more…
Aug 202010
Chinese and Indian oil consumption continue to rise dramatically.While it appears that markets are well-stocked at the moment, the secular picture for oil is quite tight. More from Oilwatch Monthly: Last year China surpassed the United States as largest energy consuming country of the world according to the International Energy [...]
Despite an easing in European volatility, and a US market that appears to be treading water, Saxo Bank prints a gut-wrenching look at the world economy. Perhaps things aren’t peachy as the VIX would have you believe? FULL SAXO BANK REPORT Share, Print or PDF
Source: The Economist Share, Print or PDF
Aug 162010
Great reading for the Monday morning commute.
This coming out of China right now…banks have been ordered to prep for a 50-60% haircut in assets related to property. Interestingly, since most property owners in China aren’t as highly leveraged as those in the developed world, such dramatic declines might not cause an equally dramatic decline in Chinese [...]
“The Chinese stock market began to discount the slowdown in economic growth actually precisely a year ago, in August, 2009. The market peaked out. And then drifted lower, but now that the bad news is essentially out, the market has started to rebound.” Share, Print or PDF
Broyhill Asset Management Q2 Also read: Soc Gen says that the downside risk of China bubble is ‘vastly overstated’ Share, Print or PDF
