If China stocks as a whole are depressed, I can't find a reason to justify. The partial current article is typical of what I find. Tony
UNCTAD: Slow Economic Growth to Continue in 1996
GENEVA (Sept. 19) XINHUA - Global economy will continue to grow
in 1996 by no more than last year's 2.4 percent, with the developing
countries again outrunning the developed world, the United Nations
Conference on Trade and Development (UNCTAD) forecasts.
In a report released today, the U.N. agency predicts a continuing
downtrend in growth, following the slowdown from 2.8 percent in 1994 to
2.4 percent last year. The 2.4 percent growth was short of official
expectations for at least a 3 percent growth, which was needed to help
ease unemployment in the North and raise income in the South.
This shows that the world economic recovery since 1993, after one of the
worst postwar recessions, has been much weaker than after earlier
recessions, UNCTAD says in its Trade and Development Report 1996.
The loss of steam in global economic recovery is mainly due to the
slowdown in the developed countries, where growth fell to 2.0 percent in
1995 from 2.8 percent in 1994, viewed by UNCTAD as a result of their
focusing solely on inflation control and government budget cutting.
The growth in the developing world too slowed from 4.7 percent in 1994
to 4.0 percent in 1995, affected by the Mexican financial crisis.
UNCTAD puts the growth rate for the group in 1996 at 4.5 percent,
compared to 1.9 percent for the industrialized countries.
China will remain one of the fastest growing economy, expecting a 9.0
percent growth this year, slowed from 10.2 percent in 1995 due to
government measures to cool the economy.
Most of the other Asian developing economies will also continue to
expand rapidly, with growth at 6.1 percent in 1996, compared to 6.3
percent last year. UNCTAD predicts faltering export growth for some east
and southeast Asian countries, in part due to emergence of new
competitors. |
