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By Chi Lo, CEO, HFT Investment Management (HK) Ltd
Economy slowing, not crashing
It is clear that Chinas growth is slowing, however, major Chinese economic indicators point to a moderation in growth not a hard landing for the economy: shadow bank lending is being reined in, the labour market is still tight and domestic demand remains strong, suggesting no imminent need for full policy easing. We expect Chinese inflation will trend down from here.
A dismal backdrop...but reasons for optimism
Europe looks to be slipping into a recession and US growth is feeble with a good chance of a second-dip recession. As these two regions are Chinas biggest export markets (accounting for over 42%...
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