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Chinese Economic Data Results

09/12/2010

1. Trade Data (Exports and Imports) - % change YOY from July to August

Exports                                  Previous 38.1%                           Actual 34.4%
Imports                                   Previous 22.7%                           Actual 35.2%

2. CPI & PPI

CPI                                        Previous 3.3%                            Actual 3.5%
PPI                                        Previous 4.8%                            Actual 4.3%

3. Retail Sales                        Previous 17.9%                          Actual 18.4%

4. Industrial Production            Previous 13.4%                          Actual 13.9%

5. Fixed Asset Investments      Previous 24.9%                          Actual 24.8%

6. Loan Growth                       Previous 532.8 billion yuan          Actual 545.2 billion yuan

 

COMMENT - Saturday morning, September 11, 2010: economic data released for China is further evidence that a "soft landing" is being engineered by Chinese central bankers. No evidence remains in the data to suggest a much feared "hard landing."  Demand for credit from the business sector was strong, as was domestic consumer demand.

This data is not a referendum on the Chinese equities market, but rather support for my belief that "When the G-3 catches a cold, the developing world no longer gets pneumonia.  Instead, it feeds the G-3 chicken soup!"

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