China Restarts Economy

China’s budding economic recovery provides not only provides some relief to global manufacturing but also insight and guidance into a timeframe when the rest of the world’s economy will restart. Real-time indicators show that China is re-starting its industrial complex…Clearly, the re-start is at an early stage, but things are gradually improving. — Sanford C. … More China Restarts Economy

China Turns To State-Controlled Enterprises to Cushion Economic Shock

As private manufacturers in China struggle to restore production, most of the country’s 20,000 industrial companies controlled by the central government have increased production of masks, medicines, steel, heavy machinery and other products to maintain employment. China State Construction Engineering Corp. in Wuhan, for example,  created more than 20,000 jobs for construction workers, engineers and … More China Turns To State-Controlled Enterprises to Cushion Economic Shock

China’s Industrial Output Plunges, GDP Headed For First Contraction On Record

China’s industrial output fell more than expected as the coronavirus shutdown factories, across the nation.  Industrial output fell13.5% in January and February from a year earlier, versus a median estimate for a 3% contraction. Retail sales fell 20.5% in the period, compared to a projected 4% fall. Fixed-asset investment dropped 24.5%, versus a forecast 2% … More China’s Industrial Output Plunges, GDP Headed For First Contraction On Record

Waiting For The Rebound, Rationality Shall Prevail

The U.S. stock market was an accident waiting to happen as valuations were historically excessive before the coronavirus struck.  Moreover,  markets are very distorted due to all the government intervention and the Federal Reserve’s extraordinary monetary policy since the Great Financial Crisis (GFC).   The traditional economic signals extracted from the financial markets are no longer … More Waiting For The Rebound, Rationality Shall Prevail

China Smart Phones Sales Fall 54.7% In February

After locking down large parts of the country to prevent the spread of the coronavirus, total mobile phone sales fell 54.7% to 6.34 million down from 14 million in February 2019.  It was also the lowest level for February since at least 2012 when China Academy of Information and Communications Technology showed (CAICT) started publishing … More China Smart Phones Sales Fall 54.7% In February

Auto Sales In China Down 80% In February

Auto sales in China, the world’s largest passenger car market, fell 80% in February because of the coronavirus epidemic, one of the country’s industry associations said on Wednesday. The China Passenger Car Association (CPCA) said in a statement that China’s overall passenger car sales dropped 80%, without giving a full sales figure for the month. … More Auto Sales In China Down 80% In February

China’s Manufacturing PMI Falls To 35.7 From 50.0, Services To 29.6

Those are some ugly numbers and the lowest on record.  Not totally unexpected though much worse than anticipated.  The February print came in much lower than the median forecast of 43 by economists surveyed by the Wall Street Journal. China’s official manufacturing PMI dropped to 38.8 in November 2008 at the start of the global … More China’s Manufacturing PMI Falls To 35.7 From 50.0, Services To 29.6