china sent good news, page-21

Sign 'o' the times.

Whereas we once east looked across
Pacific to perceive market direction we now also look north across the Timor and South China Seas.

And when we do look east across the Pacific, we see a rout caused by what happened north across the South China Sea.

IMO the damned Chinese government sparked this rout on world markets quite deliberately in order to drop resource futures across the globe.

The more we look to their pretend stockmarket to signal a reversal the more power they will have to spook western markets.

As the majority of companies on their so- called "stockmarket" are owned by the Govt of the PRC, the Chinese Govt ends up with de facto control over the economic fortunes of the advanced economies.

Western investors should revert to the fundamentals and ignore blips in the markets of the "Asian Tigers" and such esoteria as collapses of the Thai bhat. These blips do not constitute a sustained bear market.

What next? Will we'll be waiting for a fat "babu" to gather up his loincloth, lift his left buttock and break wind on the Bombay - sorry, Mumbai - stock exchange to send us all tearing out of the water again?

What the hell has become of the Dow and American investors? Have they leased out the "Land of the Free and the Home of the Brave" to Chinese factory owners and Indian hen coops - er, customer call centres?

Too right they have - and too late to lament.

For the Lucky Country is following suit at light speed.

(Sir) Lunchalot
Scoffer Extraordinairre