baltic dry index continues to climb, page-2

"INSIDE CHINA - AND - JAPAN
CHINA CRASHES - AND - JAPAN SINKS STILL FURTHER
The mainland Chinese economy was hit right between the eyeballs in January. The global deflation has
washed over the Chinese coastline and caught up to the Chinese industrial machine. Railway freight in
China’s Shanghai region plunged 31 percent in January and industrial production there fell by 12 percent.
The rails are a gauge for the amount of resources and economic goods which are being moved around in
any modern economy. This data on Chinese railway freight makes it crystal clear that the Chinese
industrial machine is grinding to a total halt. This can also now be seen from the data concerning inter-
Asian trade. A vital part of this trade is the HUGE amount of component pieces which are shipped
to China for final assembly into finished goods. This trade has imploded.
Taiwan’s exports to China fell 55 percent in January while Japan’s fell by 45 percent. These exports are
links in the supply chain for China's industry. The world is counting upon China’s economic “growth” to
save them. They can forget it. China is sliding into a recession with alarming speed."

Permission hereby given to quote short excerpts provided full attribution is given:
Copyright The Privateer 2009
http://www.the-privateer.com
[email protected]
(reproduced with permission)


Way too much conflicting news out there.



And lets remember the BDI was at 11000 before.. it is at 2200 now...yes it augers well, but a long way from where it was.