China had, by far, the world's most severe, widespread, & lengthy covid restrictions- which were only lifted in December 2022.
These severe covid restrictions had shrunk its economy significantly- but many predicted growth, & its voracious demand for fossil fuel imports, would return by mid to late 2023. This has still not happened (Experts state the disastrous & massive overbuilding/glut of unoccupied, new dwellings- causing major price falls, insolvencies etc.- is mainly responsible).
It appears there are now the first real signs of economic growth- factory activity in 2024 grew to high, "normal" levels. If China's economy is starting to rebound, this bodes well for WHC met & thermal coal sales.
The Market Herald Online J. Davidson said 30.4.24"The Chinese economy matters for Australia for a few reasons, but there’s two very big ones.
The first one is obvious: iron ore sales (& met & thermal sales- my words). Treasurer Jim Chalmers has been saying for months that as iron ore prices fall, driven by a weaker Chinese demand base due to that country’sproperty sector woes, our budget surplus will falter.
(With that said,SGX iron ore futures are back to US$116/tn.)...
Which is why it’s interesting that – should you trust the Chinese data –factory activity is at a 14 month high, which we learned on Tuesday.
Chinese industrial production hit pre-COVID levelsback in February of this year, even as the country struggles withdeflationary pressure, which it’s beengrapplingsince mid-late 2023.
All in all, it’s hard to make sense of China right now – a lot of the numbers don’t appear to add up, but the country is deeply complex and language barriers make reliable high-quality analysis more difficult.
But one thing is certain: inflationary pressure interplays aside, a strong China makes for a stronger Australia.
Also worth noting is that the CH50 index is having a fairly good week, compared to its recent doldrums.
M&G Investments equities chief Fabiana Fedeli revealed on Monday that firm had exposed itself to Chinese markets early 2024; while Philips CEO Roy Jakobs expects a recovery in H2CY2024 – though, alotof people are saying that".
Oz Economic Indicators: Retail sales weakest on record & China factories hit 14mth high | 2024-04-30 | HotCopper
- Forums
- ASX - By Stock
- Target $18.72
China had, by far, the world's most severe, widespread, &...
-
-
- There are more pages in this discussion • 1,653 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add WHC (ASX) to my watchlist
(20min delay)
|
|||||
Last
$7.25 |
Change
-0.020(0.28%) |
Mkt cap ! $6.065B |
Open | High | Low | Value | Volume |
$7.24 | $7.33 | $7.10 | $36.97M | 5.108M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
2 | 4799 | $7.25 |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
$7.26 | 740 | 1 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
1 | 3386 | 7.250 |
2 | 17976 | 7.240 |
3 | 32125 | 7.220 |
1 | 29137 | 7.210 |
5 | 124066 | 7.200 |
Price($) | Vol. | No. |
---|---|---|
7.260 | 740 | 1 |
7.270 | 10894 | 3 |
7.280 | 1000 | 1 |
7.290 | 12988 | 4 |
7.300 | 48137 | 6 |
Last trade - 16.10pm 02/10/2024 (20 minute delay) ? |
Featured News
WHC (ASX) Chart |