Singapore Stock Exchange - Equity Investments: China's exports soared in October in spite of the trade war.

Thursday, November 8, 2018

China's exports soared in October in spite of the trade war.

https://www.caixinglobal.com/2018-11-08/who-to-watch-among-the-younger-generation-of-central-bank-officials-101344415.html

This good China economic growth will definitely piss Trump.

Hahaha!

2 comments:

Unknown said...: This is becoz importers are in a mad rush to accelerate orders & stock up at lower prices before 1 Jan, when the tariffs are set to more than double!

If trade war not resolved, over 80% chance of recession in Asia & emerging markets by mid-2019.

Sure life goes on, but will be damn uncomfortable for those depending on jobs for income & need to support children, old folks, housing mortgage etc.; November 9, 2018 at 1:30 PM
Eric Ho said...: Frontloading is how many analysts explained the export figures. However, I believe there is more to this than meets the eye.

When the US and China cannot sell goods to each other, they will dump the goods in Asia and cause prices to be depressed in Asia. In fact, this is already happening as we can see from some countries. Farm products are being dumped in Taiwan and disrupt the produce prices in Taiwan. When China stops importing rubbish, rubbish also gets dumped in Asia too. For example, rubbish imports in Taiwan and Malaysia have spiked by folds this year.

Since price deflation will happen in Asia because of the US-China trade war, there is no frontloading in Asia as consumers can buy cheaper things in the future. Thus, the export figures in China must be boosted by other reasons.; November 11, 2018 at 2:05 PM

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