Since this is a very long post, it may make sense first to provide a quick summary of what I am going to argue. As I have discussed often in earlier posts, pessimists are starting to worry about excessive debt levels in China, about which they are very right to worry, and many are predicting …
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Would a trade war help solve the problem of excess capacity?
On Friday Chinese stock markets capped one of the best weeks in an awfully long time, with the SSE Composite closing at 1986, up 3.1% for the day and 13.7% for the week. Although a lot of local analysts have been saying that the rally is long overdue and represents confirmation that we have bottomed …
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