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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: Cogito Ergo Sum who wrote (145202)	1/7/2019 12:01:10 AM
From: TobagoJack	Respond to of 217615

Am watching / learning, and would welcome further de-risking by the macro bloomberg.com Fighter-Jet Makers a Rare Bright Spot in China's Bear MarketSign up for China Rising, a new weekly dispatch on where China stands now and where it's going next. Chinese fighter-jet and engine manufacturers are emerging as a bright spot in a stormy stock market that’s been besieged by a trade feud with the U.S. and a slowing economy. Avic Shenyang Aircraft Co. and AECC Aviation Power Co. may stand out because their largest customer is the Chinese military, whose purchasing decisions have more to do with the nation’s plans for upgrading its air force and less to do with macro-economic fundamentals, analysts say. Advertisement Scroll to continue with content The demand is creating a steady order flow for the two companies, the major manufacturers of fighter jets and military aero engines that are listed on China’s A-share market. The contracts provide stability for earnings as well as much-needed assurance for investors at a time when an economic slowdown in China and uncertainties arising from the U.S. trade spat are clouding companies’ prospects. “These two stocks are becoming the blue chips of China’s defense sector,” said Liu Lang, an analyst with Kaiyuan Securities Co. in the northwestern city of Xi’an. “Both companies are producing in full swing to meet swelling demand as the Chinese army is upgrading its gear.” Avic Shenyang rose as much as 4.86 percent Monday morning, while AECC Aviation gained as much as 2.97 percent, outperforming a less than 1 percent gain in the benchmark CSI 300 index. Avic Shenyang and AECC Aviation’s gains on Monday came on top of their respective rally of 5.49 and 2.39 percent last week. China has a goal of creating a “ world-class” military by the middle of this century, spurring greater production of more-advanced fighter jets. Boosted by this demand, Avic Shenyang and AECC Aviation are projected to be the world’s top two defense companies by revenue growth by the end of 2020, data compiled by Bloomberg show. The nation’s fleet is in need of an upgrade to the latest generation of aircraft, according to Zheshang Securities Co. China has the world’s second-biggest combat fleet with 1,624 jets, about 40 percent less than that of the U.S., data compiled by FlightGlobal show. The expansion and upgrade of the Chinese fleet will create a 30 billion-yuan market for fighter jets and a 45 billion-yuan market for military aero engines each year for the next decade, according to Zheshang Securities. Avic Shenyang is projected to have revenue and profit gains of about 20 percent in 2019, after it listed in 2017 by injecting assets into a car manufacturer, according to data compiled by Bloomberg. AECC Aviation will probably see profit growth of nearly 20 percent. Stock OutlookShares of Avic Shenyang and AECC Aviation are expected to jump more than 50 percent and 40 percent over the next 12 months, based on consensus estimates compiled by Bloomberg. That’s more bullish than expectations for the A-share market: The Shanghai Composite Index will probably end 2019 at around 2,950, 18 percent above its close on Dec. 28, according to the median estimate in a Bloomberg survey of 22 analysts and fund managers. Both stocks haven’t been spared from the current downturn in the broader market. The shares fell about 20 percent in 2018, compared with a drop of about 25 percent in the A-share market. Despite the declines, the two stocks remain pricey relative to global peers. Avic Shenyang and AECC Aviation are among the top three highest valued defense stocks, trading at 41 and 33 times their blended forward earnings estimates, compared with an average of 18 for the global peer group, data compiled by Bloomberg show. “Their valuation is high but justifiable given that such stocks are rare in the market,” said Lu Zhou, an analyst at Dongxing Securities Co. — With assistance by Dong Lyu, and Ludi Wang (Updates stock moves in 5th paragraph.)

To: Cogito Ergo Sum who wrote (145202)	1/9/2019 11:03:28 PM
From: TobagoJack	Read Replies (1) \| Respond to of 217615

re <<Operation Red Sea ... But shows China encroaching on another US specialty. And doing it very well :))>> operation red sea is perhaps too low tech i do however note that team china humvee costs 2/3 less than the usa version interesting that the bigger boyz keep escalating one-up presumably to get funding and edge the little fellows shall certainly get left behind, and may eventually to be practical and opt out from team usa insisting on sailing carriers through the china / china-taiwan strait for 70 years (1949 - 2019) in supposed provocation, to team china building islands and innovating anti-ship this, and sub-surface that, in presumed response to meet safety imperative, we this day receive long anticipated news that df-26 is deployed even as the deployment happened last april explanation of how the perhaps gadget works, simulation of how it allegedly works am imagining that team china shall barely comment on britain's trial-announced intention to re-establish asia naval base and putting UK treasure to deemed-wise use the missiles are inexpensive, easy to increase in numbers and not-difficult to extend range let us see which busy-body navy wishes to be clinical test subject, and let's watch & brief on the levelling of playing field i have no doubt at all that the world is evolving to be a safer place per NRA logic japantimes.co.jp Beijing announces deployment of 'carrier killer' missile after U.S. warship sails near South China Sea islets Jan 10, 2019 Beijing has announced that its so-called carrier killer anti-ship missile has been deployed to the country’s northwest, just a day after the U.S. Navy sailed a warship past disputed islands in the South China Sea. China’s DF-26 ballistic missile, which reportedly has a range of 3,000-4,000 km, was mobilized to the country’s northwest plateau and desert areas, the state-run Global Times newspaper reported Tuesday, quoting national broadcaster CCTV. While the actual deployment date was not mentioned, the timing of the reports’ release coincided with a U.S. “freedom of navigation” operation (FONOP) near Chinese-held islands in the South China Sea’s Paracel chain on Monday. In the FONOP, which Washington conducts globally to challenge maritime claims it considers excessive, the U.S. Navy sent the Yokosuka, Kanagawa Prefecture-based USS McCampbell guided-missile destroyer near the islands — a move China blasted as a “provocation.” The Global Times report alluded to the U.S. operation, quoting an unidentified expert as noting that the deployment “is a good reminder that China is capable of safeguarding its territory.” “Even when launched from deeper inland areas of China, the DF-26 has a range far-reaching enough to cover the South China Sea,” the expert added. Beijing has constructed a series of military outposts throughout the waterway, which includes vital sea lanes through which about $3 trillion in global trade passes each year. The Philippines, Vietnam, Malaysia, Taiwan and Brunei have overlapping claims in the South China Sea, where the U.S., Chinese, Japanese and some Southeast Asian navies also operate. The newspaper called the DF-26 a “new generation of intermediate-range ballistic missile capable of targeting medium and large ships at sea.” According to the Pentagon’s 2018 report on Chinese military power, the road-mobile missile, first fielded in 2016, “is capable of conducting conventional and nuclear precision strikes against ground targets and conventional strikes against naval targets in the western Pacific and Indian Oceans and the South China Sea.” China’s Defense Ministry announced that the missile had been officially deployed last April, and CCTV said Tuesday that weapons “are now capable of mobile operations across the country.” Experts say a mobile missile launch from deep inside China’s interior would be more difficult to intercept than a launch from an area closer to the shore. This is because in the initial launch phase, the missile is relatively slow and easy to detect, making it a ripe target for enemy anti-missile strikes. After the launch enters its later stages, the missile’s speed is so fast that the chances of interception dwindle significantly. This missile’s deployment has also stoked concern in Japan, home to a number of key U.S. military bases. According to a June 2017 report published by the Center for a New American Security think tank, while the United States’ main focus on the DF-26 has been aircraft carriers, the missile also bolsters China’s ability to target and destroy U.S. bases in the region — a capability experts say remains an underappreciated challenge. “The greatest military threat to U.S. vital interests in Asia may be one that has received somewhat less attention: the growing capability of China’s missile forces to threaten U.S. bases in the region,” the report said. In it, the two authors, Thomas Shugart and Javier Gonzalez, simulated a preemptive Chinese attack on U.S. bases in Japan. They found the results would be devastating, including “almost every major fixed headquarters and logistical facility being struck” and “almost every U.S. ship in port in Japan struck pierside by ballistic missiles.” The simulation also found that most of the military runways would be cratered in the attack, effectively clipping the wings of the U.S. Air Force in Japan.