Hi John, As a Chinese, I have to say I like your comments on...

Hi John,

As a Chinese, I have to say I like your comments on Chinese.

1. Chinese don't have as much loyalty as people in Western countries. so in that sense, Chineses are only loyal to Chinese.

2. Chinese government and gov owned companies have been investing $$$$ in Africa countries. Not only in mining, but also infrastructures. It is called as strategic investments. Chinese know there are higher political risks involved with those projects/ownerships. But the golden rule is high risk associated with high returns.

My friend who just returned back from China told me that the Chinese economy is not as the outsiders thought. China has a similar problem as Australia. The property price is still very high...

High property price means high mortgage or rental payments, therefore lower disposable income after housing payment. When people need spend more to keep a roof on top, they do two things: reduce other discretionary spending (then you have a weaker retail) and demand for a higher wages (then bosses have to try either cut other spending or increasing price).

Higher wages are the first wave in China that China is no longer the cheapest manufacturing country and international companies are moving from China to other developing chountries such as Thailand and Vietnam.

Weaker retail is the second wave now in China. Most of the shopping malls in Shanghai are as quiet as...

So please, if your reason for Australian property price going higher is China, think again.