A picture tells a thousand words and this graph quite clearly explains why there is such a big fuss around the China growth story

James Marlay

Livewire Markets

A picture tells a thousand words and this graph quite clearly explains why there is such a big fuss around the China growth story. Quartz notes Profits of big industrial companies shrank 0.6% in August versus the previous year, after growing 13.5% in July. And recent data suggest it's getting harder to stimulate the economy through cheap money. If the China slowdown keeps up, it could be disastrous for countries that sell metal and energy to China. The chart attached (via Michael McDonough from Bloomberg) shows the percent of country's total exports that go to China. Against a basket of peers, including Japan, Sth Korea and the United States, Australia stands with the greatest exposure with more than 36% of exports heading to China. It helps place some context on why so much focus is spent looking at Chinese economic data.


1 topic

James Marlay
Co Founder
Livewire Markets

Livewire is Australia’s #1 website for expert investment analysis. We work with leading investment professionals to deliver curated content that helps investors make confident and informed decisions. Safe investing and thanks for reading Livewire.

Expertise

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.