Monday, February 3, 2014

China PMI data on Saturday meets market estimates but concerns remain.



The China PMI data on Saturday met the market expectations at 50.5 however it was the lowest PMI reading for China in 6 months and was .5 lower than December’s reading.

One thing seems to be clear to me, 2014 is heading towards a great rotation year for financial markets to sell emerging market assets (currencies and stocks in Asia, South Africa, Brazil, India, Russia and even Australia) and move that money back into the traditional developed economies and currencies such as the USD.

China I believe will still grow at around 7%  to 7.5% however it seems clear that the markets are wanting to focus in and put  Chinese growth and infrastructure spending under the microscope and really find out how the Chinese Government is going to live up to expectations and keep the wheels turning. That's the big concern right now and it just backs up our Fundamental Directional Views are on the right track.
 
Everyday Andrew Barnett from LTG GoldRock sends Fundamental and Technical Analysis to LTG GoldRock Subscribers in the GoldRock Insider Report. Forex Trading is definitely a lot easier with a Mentor and the right education. Catch up on the latest from the LTG GoldRock team on www.LTGGoldRock.TV

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