Does Decline In Chinese Fixed-Asset Investment Signal The End Of Government-led Boom?
A fresh batch of economic data came out, and most of it seems pretty benign. Inflation ticked up a bit, though nothign alarming. Still, via Reuters, this is interesting commentary from Citi analyst Ken Peng: “The surprise that I see so far is from fixed-asset investment. Falling from 33 percent to 32.1 percent year-to-date, November as a single month has fallen off quite a bit. This has to do with the government’s intention to curb investment growth, especially the government-led- type. It is a good thing. The State Council said as much, saying it would control new project approvals.
