“I wouldn’t trust any company’s accounts in China,” says James Chanos, Kynikos Associates president & founder, explaining why he is short Chinese companies, despite GDP growth. Here is a direct link.
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Cory’s Chart Corner
Load MoreWow...RBC trying hard to obfuscate an 8x growth in loan losses with candy for the kiddies, buybacks and dividend hike. Morning other Danielle...
h/t @DiMartinoBoothBattening down the hatches with an eight-fold hike in loan loss provisions north of the border:
@RBC provisions for performing loans totaled C$568 million in the second quarter, up from C$68 million in the first three months of the fiscal year.
@business
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Guess what the implications are for a country like Canada & the US. Falling commodity prices mean a smaller US Trade Deficit. And that means that a larger part of the growing (!!) US budget deficit needs to financed domestically, in the US.
Mr. Michael Pettis is also EXTREMELY bearish on the future of HARD commodities.
http://www.mpettis.com/2012/09/16/by-2015-hard-commodity-prices-will-have-collapsed/
Interesting website:
http://www.mpettis.com
Interesting presentation by Mr. Pettis:
http://annual.cfainstitute.org/2012/05/16/michael-pettis-on-china-the-growth-rate-in-investment-is-going-to-collapse/
http://annual.cfainstitute.org/2012/05/09/live-stream-session-global-imbalances-and-the-decoupling-myth-chinas-role-in-the-world-economy/