China’s economy has impressed the world for the last few years. Some have thought that the elevated GDP and asset growth in housing and stocks were unsustainable. The Chinese government may have thought the same. They’re backing off their GDP targets. Housing may have peaked. Maybe the corrections came in time. The current worry is that the Chinese stock market has been falling since June 12th, and is now down 28%. Various actions by the government have not stopped the drop. A major economy in such a decline rarely limits its impacts internally. With Greece’s troubles causing EU troubles, and China having its troubles, the US may be the favored economy – despite its troubles. An interesting race.
(Click on the photo for the link.)
“Panic Wipes 2T GBP Off Chinese Shares” – The Guardian
