finance.yahoo). This is another setbacks for the China bashers.
For years swashbucklers like New York Times correspondent Paul Krugman and Jim Chanos, a hedge fund manager and notorious short seller, have been banging the "China crash drum" (driveby). This summer JP Morgan joined the crowd of China bears and cut China to underweight. The China crash callers claim that China is suffering from huge structural problems like too high debts and too huge investments into real estate which would cause a "hard landing" of the Chinese economy. They all are focusing on some structural problems and ignoring the ongoing strength of the broad economy.
Today´s economic data are the latest of a series of data refuting the China bashers. Factory production, retail sales and investment had all displayed encouraging growth in October, writes Reuters.
The strengthening fundamentals could even rekindle China´s stock market which is still trapped in a pessimism bubble created by the China bashers (driveby). The Shanghai Composite Index, which represents the Chinese stock market, is down 2% year to date and missed the rally of the US & European stock markets. Maybe it is time for a catching-up rally in Shanghai.