Now we have all commodities priced to perfection - End the World perfection, but what will happen if decoupling is not dead and China will make it? Anything in expansion above 8 percent will be total surprise to the Wall Street Doom Sayers. All trillions pumped into the system will find its way out into the Supply/Demand situation for resources. With continued Demand, Supply side will be not able to deliver if commodities will stay at this level: it is self correcting situation. Production is cut, mines are closing, nobody drilling any more. Where China will take the goods? In emerging markets like south America and in old Canada and Australia as well. Just check the news on China building influence over South America and Africa. reaction in Gold, Silver and Base metals will be very interesting this week after recent announcements from China.
"Nov. 30 (Bloomberg) -- China’s economy may grow 10 percent next year as the “huge” potential of domestic consumption and investments counters the impact of a global slowdown, a State Council researcher said.
The “vast development potential” of the world’s most- populous nation will ensure a fast rate of expansion in 2009, said Zhang Liqun, a researcher with the Cabinet’s Development Research Center, according to the official Xinhua News Agency. “Domestic enterprises need to accelerate the pace in upgrading their business structures to better cope with a severe world economic situation.”
The “vast development potential” of the world’s most- populous nation will ensure a fast rate of expansion in 2009, said Zhang Liqun, a researcher with the Cabinet’s Development Research Center, according to the official Xinhua News Agency. “Domestic enterprises need to accelerate the pace in upgrading their business structures to better cope with a severe world economic situation.”
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