Tuesday, January 22, 2013

The Chinese Economy Is On the Mend.

The below chart comes via Alliance Bernstein and the right panel shows electricity production in China.
http://www.thereformedbroker.com/wp-content/uploads/2013/01/china-electricity.jpg
Or as Bloomberg reports....

Electricity production increased to 432.7 billion kilowatt- hours, the most since August, data from the National Bureau of Statistics showed today. That’s up 7.6 percent from the same period last year. Power generation climbed 4.7 percent over the year to 4.82 trillion kilowatt-hours, down from 12 percent growth in 2011 as the nation’s economy slowed.

The structural economic issues will likely plague the country at some point (overcapacity, bad debt), but it appears the country's economy is off the bottom. 

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