China: The Next Bubble?

I believe I have seen somewhere recently abundance of evidence of Chinese labour cost pressures. One of the reasons given for relocation of firms back to the United Kingdom or the onward search for cheap labour in places like Vietnam.

Interestingly, I've been reading an record about Mark Hart, who has set up a China Fund take benefit of China's implosion. He is, we are told, worth listening to because he unbelievable the sub-prime emergency (and I would say: how hard was it to predict if you knew what was going on). To invest in his fund you will need m.

News From China

His pitch:

-China has only used 65% of the cement that it has made over past 5 years.
-In excess steel alone it has more sitting colse to than the whole of the Eu and Japan's entire yield for the year.
-In asset there are 3.3bn sq metres of office space doing nothing.
-Rents in key cities are nearly twice as high-priced as they were in the Usa before the sub-prime crash, which points to a housing bubble.
- He thinks China carrying more debt than it is letting on.
-And jokes....who will bail out China, Duncan Bannatyne?

The writer agrees and points out that profits in China are easy now because they come on the backs of exploited workers but increase based on giant, jazzed-up Labour camps is not, he argues, sustainable.

The closing is that once clubs start spreading the wealth, which they will have to one day, China will fall foul of rising wages, unions and inefficient Western practices like laborer rights!

And the Chinese bubble will burst. In any case if and when we get someone else vicious downturn I'll just enter Ftse100/Ftse 250 shorts via spread bets as they pop up on my filters. I'm approximately finding forward to it. I currently have 5 Ftse100 shorts, which were doing well and now they're not. No matter, the limits and stops are being run by Ig Index and other than raising my stops if the shop looks like it's going to go up to the 6100 area (top of channel), I'll leave them to do their thing.

China: The Next Bubble?

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