If China promised something. Should China not keep that promise?
It is up to China what China wants to do. And other countries will do what they want to do. No one owes anything to China, and if China thinks it owes nothing to others, so be it. China should do what it can do, and others will do what they can do. Fair Game.
I do not know why you think I did not make sense earlier. Based upon what I am reading from you,
the problem has several dimensions:
China is still hurting from some strange notion of past injustices, as it relates to Chinaâs territorial claims and self-respect.
China thinks, for right or wrong, it is strong enough to correct those past injustices and make it even with the perpsâŠ
The confrontational path China is taking to correct those perceived past injustices.
Strangely enough, can you see some similarity between the way China is behaving in the world scene, and how some left groups are behaving (rioting and protesting) in the USA to fix some past wrongs.
Such discussions are good, not a waste of time, if they improve the understanding of the situation and lead to better appreciation of the views of the other people. Yes. prosperity comes through peace. Conflict, chaos, lack of trust, and uncertainty are inimical to prosperity and peace.
Alibaba controls the e-commerce space (80% market share), the cloud-computing category (roughly 50% market share), and a 33% stake in the leading FinTech in the most populous and soon-to-be largest economy on earth.
Alibaba is valued at less than half of Amazon despite producing substantially wider margins, greater profitability, and having a larger topline growth outlook for the next couple of years.
This stock still has a massive amount of upside potential just waiting to be priced in.
Once de-listed from US stock exchange, it would soar like an eagle.
âŠAlibaba is generating stronger revenue and earnings growth, it operates at higher margins, and its stock looks much cheaper. Therefore, investors can consider accumulating shares of Alibaba right nowâŠ
Actually investors sold all stocks not just China stocks.
Sun Jianbo, president of China Vision Capital in Beijing, said he took advantage of the selling to raise the portion of equities in his fundâs total assets to 90% from 70%.
Buy when thereâs blood in the streets, even if the blood is your own.
With the U.S. tightening the screws on the Chinese financial system, this puts Alibabaâs business model at risk. In other words, donât panic about delisting. But do keep a watchful eye on the U.S.-China diplomatic relations.
Reason isâŠ
âŠmuch of Alibabaâs reported profits in recent years come from the value of its investments in other companies appreciating.
If Chinese tech companies started to drop, then, Alibaba stock would get hit with a double-whammy. Its share price would drop due to the change in sentiment, and it would also report lower earnings thanks to its investment portfolio plunging. Those lower earnings, in turn, would cause sentiment to worsen, triggering a downward spiral.
What the Chinese power that be fail to understand is that 80% of the world population is ânot Chinaâ.
Those 80% countries are mostly open societies meaning the people are generally less dependent upon government for ideas (how/what to think) and income. Did China mistake the freedom given to it by the world community as sign of dependence of the world upon it and its (Chinaâs) rising stature as a would be superpower?
Did China forget the Walmart theory about customers; You can win an argument but loose a customer.
Again please donât use the word, âworldâ, if only a handful of nations out of 195 nations. Currently, the world is not run by elite nations.
Is a clear cut case that USA is trying to suppress the rise of China. Period. Nothing to debate. Nations have to weigh which is more beneficial for them, to side with USA or side with China or remains neutral. From what I read so far, most remains neutral. Again there is no right or wrong, so donât bother to cite cases of wrong or right, have done this or that, ⊠all these are BS excuses.
Take note that the article is published by Reuters, an UK publications, UK is a member of G-7.
What kind of freedom is given? Who are the world community?
80% of population is not china but world fastest growing population market is in Africa and Middleast.
Japan and Korea are aging fast. they wont be consuming going forward.
German view of US manufacturing. they still want to bring people from there to manage factories here. Europe are building there Industrial, Energy and Tech giants to make Euro dominant reserve currency. they are fully cooperating with anyone who ever help them.
Yes, the earning potential of Chinese companies will be affected if the Chinese products do not get duty free access to markets outside China. The stock market valuation is a sum total of earning potential wrt to the risk.
Again please donât use the word, âworldâ, if only a handful of nations out of 195 nations. Currently, the world is not run by elite nations.
No one has a monopoly over the world market. Neither the elite nations nor China. It is all dependent upon how much access each country provides to others.
Is a clear cut case that USA is trying to suppress the rise of China. Period. Nothing to debate. Nations have to weigh which is more beneficial for them, to side with USA or side with China or remains neutral. From what I read so far, most remains neutral. Again there is no right or wrong, so donât bother to cite cases of wrong or right, have done this or that, ⊠all these are BS excuses.
Of course, the US is trying to suppress the rise of China. And China is suppressing Hongkong, Taiwan, and Tibet, and many others That does not make a good story.
Take note that the article is published by Reuters, an UK publication, UK is a member of G-7.
I agree with you. The UK does a good job of telling its side of the story. China should do the same. China should make its position know to the world by publishing through its own publications or through media houses. Personally, I would like to learn what is going deep in the mind of Chinese policymakers.
One example of freedom given to China is duty-free access to Chinese products. Another was allowing some concessions to Chinese companies listing in the US stock exchanges. In reference to China, the world community is anyone who is not China.
In Chinese. You need to learn Chinese Frankly, I donât follow that close. @manch is the one who is politically active. I am apolitical, care only when it affects stock market.
In that case, the âworld communityâ didnât give freedom. Duty free - nationâs policies e.g. Singapore is a duty-free port for all (except a few like tobacco) goods from any nations. So is not a specific policy targeted at China. Listing - there is no concessions, audit requirements are fulfilled. As per my example, Physics AP is good enough for fulfilling Physics requirements, no need for Physics C. If it is not a good enough alternative, US stock exchanges wonât accept it - so is good enough. Hence, is not a freedom gift. US stock exchanges are not philanthropist organizations. - there is money to be made. In any case, if a company that didnât meet requirements is listed, is the fault of the US stock exchanges/ SEC - didnât hear anyone from there being punished. Frankly, the industry is supposed to be regulated by SEC, some1 has overstepped its authority - with him, many independent agents are no longer independent.
Obama administration allowed Chinese companies to be listed without GAAP accounting. Trump administration is undoing that policy. I agree this should not have happened in the first place because it sets a bad precedent.
First, Chinaâs GDP is a systematically wrong measure of its economic value add. Unlike other countries, nonproductive investments were not written down in China. Chinaâs GDP is therefore a measure of system input to the economy, instead of output.
Second, the widely held belief that China will catch up simply because itâs far behind the technological frontier of the West is wrong. Each country, and even individual regions within a large country like China, has its own upper bound set by its institutions.
These institutions can be formal as well as informal: political, legal, financial, tax, social, and educational etc. Countries with weak institutions or ones that hinder growth simply have less room to grow. Wrong to assume China will catch up simply because itâs poor.
Lots more in the paper. Read it. Pettis has greatly influenced my thinking in the last few years. I read his twitter feed closely everyday. He has a new book out on trade. Itâs on my to-read list. I have read him often enough to know where heâs going.
Judging from your POV, shouldnât read anything you recommend Glance through, TL and talking cock. Economic students wonât read unless force by professors.