In eras past, investors who hoped to get an early read on the economic trends that influence equity markets would monitor data like US factory orders or the Baltic Dry Freight Index. But today, all eyes are on China.
Even though the Chinese economy is only the world’s fourth largest, it is the first largest influence on stock market trends. Accordingly, the Chinese stock market tends to lead all the other stock markets of the world…for better or worse.
[Read more...]
How to Invest in What China Really Needs
There must be more communists in Berkeley than in Beijing. That thought crossed my mind as we swept through Beijing’s wide streets, crowded with cars and lined with tall modern buildings. A more bustling capitalistic city would be hard to imagine.
I think most Americans would be shocked to see Beijing today. A friend of mine, well traveled and well-read, told me he thought he would find a city to compare to Mumbai or Managua. Instead, he found a city to compare to New York or Chicago.
[Read more...]Click for detailed story