Must Read: Australia will collapse when China Bubble Bursts

[Aussie Prick]

China economic is slowdown now so how lor?

The so called slowdown is currently a 9% growth story, with inflation hopefully peaking in July.

All China has to do is wait a few months for some more cooling

And then its stimulus time again, and

The boom times are back once again (unless the EU/US situation gets worse)

 

[Ash007]

So Australia will most likely still benefit from this?

The so called slowdown is currently a 9% growth story, with inflation hopefully peaking in July.

All China has to do is wait a few months for some more cooling

And then its stimulus time again, and

The boom times are back once again (unless the EU/US situation gets worse)

 

[axe168]

So Australia will most likely still benefit from this?

This is no brainer.. Any firms have connections with Europe will be going down.. On the other hand, organisations witn vested interest in Asia or China are likely to boom.

Standby for a Great Australia !

 

[Aussie Prick]

So Australia will most likely still benefit from this?

When China slows down, they order less iron ore from Australia, BUT infrastructure development will continue in China, when the economy speeds back up again. China must reign in its inflation problem @6.5%, which seems to be coming down at this point........

You have to remember that the resources sector is 8% of Australian GDP - but this sector is a powerful confidence tool in Australia today, which helps power the other 92% of the economy, which is why Australia is described as a "two speed economy" - the rest of the economy lags the resources.

Australia's debt is very, very low compared to other developed nations (Japan is at 162% of GDP) - there is not enough bonds (credit liquidity) issued to cover foreign demand.

All in all we only see 1 cause of concern in Australia today - the property market. The number of listings for sale had been rising steadily, with prices declining across the board. We don't know if there will be another rate hike this year - Australian inflation is on the upper end @ 3% but not a disaster like it is in Singapore.

So if you are in the market to buy, the time is coming up....typically a correction means 10-15% price declines but then again if consumers are tapped out then you might have further declines......but the tight supply will find a floor to the market faster than normal in Australia's case.

 

[AhSo1]

When China slows down, they order less iron ore from Australia, BUT infrastructure development will continue in China, when the economy speeds back up again. China must reign in its inflation problem @6.5%, which seems to be coming down at this point........

You have to remember that the resources sector is 8% of Australian GDP - but this sector is a powerful confidence tool in Australia today, which helps power the other 92% of the economy, which is why Australia is described as a "two speed economy" - the rest of the economy lags the resources.

Australia's debt is very, very low compared to other developed nations (Japan is at 162% of GDP) - there is not enough bonds (credit liquidity) issued to cover foreign demand.

All in all we only see 1 cause of concern in Australia today - the property market. The number of listings for sale had been rising steadily, with prices declining across the board. We don't know if there will be another rate hike this year - Australian inflation is on the upper end @ 3% but not a disaster like it is in Singapore.

So if you are in the market to buy, the time is coming up....typically a correction means 10-15% price declines but then again if consumers are tapped out then you might have further declines......but the tight supply will find a floor to the market faster than normal in Australia's case.

Methinks property price in Singapore, China, will fall, too much speculation in the market.

 

[Ash007]

My PRC mei meis said Tier 2 cities in China already falling.

Methinks property price in Singapore, China, will fall, too much speculation in the market.

 

[Aussie Prick]

Methinks property price in Singapore, China, will fall, too much speculation in the market.

There seems to be more evidence of a bubble now in Chinese properties. The government seems most concerned about real estate inflation as well as non-core. We are still keeping our fingers crossed there will be a soft landing. Given the PRC's govt stats, somehow that might just "happen"

 

[Aussie Prick]

All eyes now on whether Heli Ben grants equities another Bull run. If not, lets hope the Chinese figures are realistic and that they can land softly.

 

[Peiweh]

Still dunno what u talk what Chinee PRC is lumbar 1

 

[neddy]

My PRC mei meis said Tier 2 cities in China already falling.

Tier 2 cities are run by cowboys.

As for the empty flats in the major Tier 1 cities, my PRC friend says that she does not want to rent out because it will devalue the property. The renters will turn the place into factory or dormitories. She is still waiting for capital appreciation (not sure if anyone can afford to buy unless wage inflation reduce the selling price. )

 

[Aussie Prick]

He said nothing! Could the Fed Chief, the Scholar be effectively out of policy tools?

All eyes now turn to Sept 20th

 

[AhSo1]

He said nothing! Could the Fed Chief, the Scholar be effectively out of policy tools?

All eyes now turn to Sept 20th

What say you already

The federal Reserve Head no magic trick for y u know?>

 

[Aussie Prick]

This is going to be another interesting week. The beginning of the end for the Euro? All we know is someone pls do something about Trichet and Merkel needs to let go. The German people have spoken........

 

[Aussie Prick]

The swiss werent bluffing! THEY ARE GOING TO PEG! REPEAT THE SWISS ARE GOING TO PEG THE FRANC TO THE EURO!

Singapore, Canada and Australia are you listening?

 

[Ash007]

This is going to be another interesting week. The beginning of the end for the Euro? All we know is someone pls do something about Trichet and Merkel needs to let go. The German people have spoken........

The swiss werent bluffing! THEY ARE GOING TO PEG! REPEAT THE SWISS ARE GOING TO PEG THE FRANC TO THE EURO!

Singapore, Canada and Australia are you listening?

Very contradictory leh, so euro would go up or down ah ?

 

[Aussie Prick]

SNB move makes it hard to hide anywhere now...........

 

[neddy]

SNB move makes it hard to hide anywhere now...........

"The decision by the Swiss to defend their currency and the consequent rise in the gold price (it later eased) has the potential to be a time bomb for the Australian dollar.

While the current focus in Canberra is about leadership speculation, the long-term thinkers in the federal cabinet are deeply concerned at the potential dangers to Australia of a further rise in our dollar, especially given the radical high interest rate views held by some of the Reserve Bank zealots.

I am not in the business of forecasting the currency. There are a clear set of circumstances which would see our currency fall, or certainly not rise. But last night’s events in Switzerland opened the danger of a steep rise in the currency.

Let me take you through the forces which are in play...."

Waiting for Greece to give up all their Gold reserve to Finland and Germany.

 

[Aussie Prick]

Celebrating another dramatic, profitable week. Sorry to EU but its near collapse. 1 year note in Greece is 90%. Bye Bye

 

[neddy]

EU in more trouble. Someone forgot to make the ECB wear 'L' plate when creating a eurozone.

+ + +

Forgot to buy more gold.

I will need to get more of my favourite stocks.

 

[Aussie Prick]

Resignations, etc in EU. They know there will be a default now in Greece. Market fear but at least one interesting development - China dramatically increased imports, and expanded bank lending. This means Beijing will continue to tighten and try to bring the economy in for a soft landing AFTER Hu hands over power next year. 1 year more of strong growth in China, high inflation.

Then its anyone's guess in 2013 - hard or soft landing.