October 1st is China’s 70th birthday.
But this “Golden Week” looks a bit green around the gills.
At home and abroad.
Hong Kong unrest is visible. The Trade War has put a damper on the Party.
In both cases, no end is in sight.
And once the Birthday Week is over, Trump’s new, tougher tariffs kick in.
Manufacturing rose more than expected in September, but Monday markets took a dip. Even with positive IPOs.
The Caixin Purchasing Managers Index grew at the fastest pace in 19 months – 51.4 for September vs 50.4 in August. Experts expected 50.2.
The September PMI was better, but below the 50-point benchmark of real growth.
Experts consider these numbers as a “false dawn” – not a real turnaround.
Construction and real estate are slowing. We should expect more monetary easing in China by year’s end.
And the Trump Card has yet to be played…
Delisting rumors are gone – for now. But some experts still encourage divesting.
We’ll just have to wait until all cards are on the table to see who “wins.”
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