Monday, April 14, 2014

AH SO; THE INSCRUTABLE CHINESE ENIGMA

As Kate of SDA would say, "It's probably nothing"...
15 JAN 2014: The question now is whether the [Chinese] central bank can further slow the growth of credit and the money supply without causing a slump in housing prices or a sharp slowdown in the credit-dependent corporate sector...
10 APR 2014: Chinese importers have defaulted on at least 500,000 tons of U.S. and Brazilian soybean cargoes worth around $300 million, the biggest in a decade, as buyers struggle to get credit amid losses in processing beans...
11 APR 2014: China has rejected nearly 1.45 million tonnes of U.S. corn shipments since late last year...[costing] grain companies $427 million...
Hang on folks and say your prayers! Our central bankers are drag-racing down a mountainside and we're all hand-cuffed to the back bumper!

4 comments:

  1. Could be several things at play here. China is in a real economic and social mess. But this could be their way of showing the weak-kneed and begging US just who runs the show.

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  2. So we have a situation where the Chinese buyers of soybeans can't get the credit necessary to buy. But in North America a farmer has no problem getting the credit necessary to expand to meet the Chinese demand. What could go wrong?

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  3. Well like the old saying goes, free credit can't buy happiness!

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  4. Confucius say, "Ah, So! China maybe f***** up, but mehwika toarry f*****!

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