Will It Hold?

China ‘s PMI came in at 55.2 from 54.7 in October, better than expected.  The reports also showed input prices surging, however, reinforcing expectations that interest rate hikes are imminent.   The Shanghai Composite is right at its 200-day moving average of 2,800. Given that inflation is now the primary policy concern, we doubt the 200-day holds given the tightening cycle has only just begun.

This entry was posted in China, Equities and tagged , . Bookmark the permalink.

1 Response to Will It Hold?

  1. Pingback: China Rate Hike This Weekend? | Global Macro Monitor

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.