Home > November 2017 > Nov 30, 2017 China Official PMI came is stronger..even though everything is pulling back

Nov 30, 2017 China Official PMI came is stronger..even though everything is pulling back

November 30th, 2017

China has closed Factories again calling them polluters. Shanghai Futures continue to have Copper, etc move down. On a bit of a surprise move, the OFFICIAL Chinese PMI came in at 51.8 vs the expected 51.4 (Markit’s PMI is Friday). One thing that is bothering me, China is evicting a lot of their low income renters in Beijing . They are saying that it is due to safety concerns, but it smells like a land grab by property developers. Maybe China Govt isn’t yet done allowing Property Developers going crazy? Bitcoin is going crazy tonight after US court ordered info released to the IRS. Our Futures are still UP .15%..this has been one crazy week for sure. With no stimulus left (trivia even South Korea raised rates tonight), all I hear is happy stories about the global economy. Even Gossip is out there that Brexit came out with an agreement on the payment by the UK to the EU. The exact dollar amount is not released but the Pound is in full rally mode over it and up .37% to most pairs. Opec agreed to cuts, but Oil is only up .22%.

November 2017

  • Trading_Nymph

    From the Los Angeles Times…
    Sun Di arrived in Beijing with a dream. In May, the 28-year-old moved to Zhouying village, a swath of low-budget apartment blocks on the city’s outskirts. He found a menial job at a pharmaceuticals company but aspired to start his own business.

    Then came the evictions.

    ADVERTISING

    On Nov. 18, a fire tore through a cramped, low-budget Beijing apartment building — one much like Sun’s — killing 19 people. Authorities responded by launching Beijing’s biggest eviction drive in at least a decade. Sun has found himself caught in its grip, suddenly displaced along with tens of thousands of other migrant workers from less-developed cities and towns. Officials have given little or no notice, leaving many people homeless in the freezing cold.

    This week, as social media sites have overflowed with pictures and videos of the evictions — migrant workers desperately packing up their belongings, sleeping on curbs, dragging suitcases down streets littered with trash — Chinese citizens have reacted with a rare upswell of collective rage.

    “Now all of the time and effort I’ve spent in Beijing have been in vain,” Sun said on Tuesday as he packed his last few belongings, bound for his hometown in nearby Hebei province. “The government is too coldblooded, and I feel helpless and hopeless.”

    China migrants
    A man on a bicycle passes a block of demolished buildings in Beijing on Nov. 27, 2017. (Fred Dufour / AFP/Getty Images)
    Beijing is home to millions of migrant workers — construction workers, shop owners, security guards and delivery people who moved to the city for a shot at a better life. Yet China maintains a draconian residence registration system, barring the migrant workers from receiving social services enjoyed by local residents, such as access to healthcare and public schools. Critics say the system has created a permanent lower class — that the workers who built Beijing’s skyscrapers cannot possibly afford to make the city their home.

    On Nov. 20, two days after the fire, authorities announced a 40-day campaign to rid the city of unsafe buildings, precipitating a rush of inspections and tear-downs across the city. They focused on dark, subdivided apartments in suburban and industrial areas — the only ones many migrant workers can afford.

    Beijing plans to cap its population at 23 million by 2020, to ameliorate traffic, save resources and promote the development of high-tech industries. According to official estimates, the city had 21.7 million “permanent” residents at the end of 2016. The precise number of migrants — called a “low-end population” in official documents — remains unclear.

    The online response to the evictions has been swift. More than 100 Beijing intellectuals signed a petition calling the campaign a “violation of human rights.” Nonprofit organizations and volunteer networkers offered moving assistance, shelter and food. E-commerce and food delivery companies scrambled to find shelter for their now-homeless employees.

    Some internet users compared the evictions to two other recent scandals. On Nov. 23, a People’s Liberation Army general under investigation for corruption committed suicide, and last week several middle-class parents accused a kindergarten of abusing their children with drugs and needles.

    “I’ve heard Beijingers have a new greeting,” said one widely shared post on WeChat, the country’s most popular messaging app. “When you meet the low-end population, you ask, ‘Have you found a place to live?’ When you meet the middle-class population, you ask, ‘Is your child OK?’ When you meet the upper-class population, you ask, ‘Have the party discipline authorities found you yet?’”

    The scandals have come at a sensitive time, about a month after a political conclave that elevated President Xi Jinping — an avowed defender of the poor — as the country’s most powerful leader since Mao Tse-tung.

    Authorities have censored discussion of the evictions on social networking sites and restricted media coverage, according to a leaked circular published online by the California-based China Digital Times. “Concerning the Beijing city campaign to regulate and purge illegal structures, all web portals immediately shut down related special topic pages, control interactive sections, refrain from reposting related content, and resolutely delete malicious comments,” it said.

    Several posts offering charity to displaced migrant workers were censored. By Wednesday, links to critical articles on WeChat led to a screen containing the message: “This content cannot be seen because it violates regulations.” Many WeChat users shared screen shots of the page as a more muted form of protest.

    “I really sympathize with these migrant workers,” Li Yanyan, a 38-year-old high school teacher in Beijing, said in an interview. “They come here, they work hard, and all they really want is to make some money to send home to their families.

    “I cannot imagine my life without them,” she said. “I buy my breakfast and vegetables from migrant workers. The delivery guys are migrant workers. The convenience store outside my building — the one my whole family uses — is run by migrant workers. The guy who fixes my shoes and my husband’s bike is a migrant worker. My hairstylist is a migrant worker. My nanny is a migrant worker. Almost 90% of the services I use on a daily basis come from migrant workers. The quality of our lives depends on them.”

    Sun Di’s village, Zhouying, is now a ghost town. Most storefronts are vacant, empty water bottles and cigarette butts piled on their tile floors. Many of his neighbors have returned to their hometowns outside the city. Some have sought temporary shelter at local farmers’ homes at exorbitant prices; others have refused to leave.

    Evicted
    Residents leave their home on the outskirts of Beijing on Nov. 27, 2017, after receiving eviction notices. (Fred Dufour / AFP/Getty Images)
    A block away from Sun’s apartment, a 49-year-old who gave his name as Li remained in the small restaurant he managed. “They’ve been moving people from dangerous houses into even more dangerous houses,” said Li, who declined to give his full name for fear of official retaliation. “The government has blamed this apartment for being unsafe. But as long as you move out, they don’t care where you go.”

    Li said authorities cut the power to his apartment the day after the fire; and one day after that, a security guard told him he had three days to evacuate. His neighbors panicked. “It was like fleeing a conflict zone,” he said.

    He said he planned to return to his hometown in Jiangsu province, about 450 miles to the south, next month, once his 10-year-old daughter finishes her semester at a Beijing private school. Until then, he and his family have been quietly sneaking into his old apartment to sleep at night, always wary of police and security guards.

    “Every night, at 11 or 12, security guys come in to check,” he said. “If they see your stuff and sheets are still there, they throw them out.”

    Some state news outlets have lightly criticized officials over the evictions. “The working methods of some villages were indeed too simplistic and brutal,” the Global Times said in an editorial last week. Yet the government is unlikely to change course.

    “This has been happening again and again to this social group,” said Tzu-chi Ou, a doctoral student at Columbia University who has been researching Beijing’s migrant worker communities since 2008. “I’d actually argue that it’s not unprecedented. But this time it’s the scale, and also the cruelty — the way they did this is really cruel.”

    The case calls to mind a scandal in 2003, she said, in which a young migrant worker in China’s south, Sun Zhigang, died in police custody after being physically abused. The incident prompted widespread outrage, which led to legislative change.

    “But this time it’s much more pessimistic,” she said. “People try to argue, or do something, but your message just gets deleted.”

    ALSO

  • Trading_Nymph

    Reuters The Govt Official PMI, not the Markit One…BEIJING, Nov 30 (Reuters) – Growth in China’s manufacturing sector unexpectedly picked up in November, despite a crackdown on air pollution and a cooling property market that have been widely expected to weigh on the world’s second-largest economy.

    The official Purchasing Managers’ Index (PMI) released on Thursday stood at 51.8 in November, compared with 51.6 in October and comfortably above the 50-point mark that separates growth from contraction on a monthly basis.

    Analysts surveyed by Reuters had forecast the reading would come in at 51.4, easing for a second straight month after September’s more than five-year high.

    Boosted by government infrastructure spending, a resilient property market and unexpected strength in exports, China’s manufacturing and industrial firms helped the economy post better-than-expected growth of nearly 6.9 percent through the first nine months of this year.

    But October economic data disappointed analysts as investment, industrial output and export growth all slowed, raising concerns that a long-expected slowdown had arrived. (Reporting by Elias Glenn; Editing by Kim Coghill)

  • panther341

    Dow 24,000.

    OPEC agreed to extend cuts to end of 2018 as TN set out above. The main question is whether Russia agrees. https://www.bloomberg.com/news/articles/2017-11-30/opec-signals-oil-supply-cuts-will-be-extended-until-end-of-2018

  • panther341

    trivia for the day: Adding a lid to a pan with hot water will make the water boil faster. There is an immense amount of heat in evaporation. When you put a lid on the hot water you limit this evaporation significantly, and this heat loss is lessened.

  • panther341

    CME bitcoin futures to launch December 18. This is mostly important because it gives an exchange with no counterparty risk like you have the current fragmented stuff and digital wallets which have issues.

  • panther341

    No non-farm payrolls this morning.

  • panther341

    “blank check company” IPO this morning. LOL. https://www.sec.gov/fast-answers/answers-blankcheckhtm.html

  • Trading_Nymph

    With a China Slow down IMHO cuts won’t even help OPEC…

  • Trading_Nymph

    But removing that lid you get a face full of steam…lol…great Metaphor for this market Panther.

  • Trading_Nymph

    This is really going to be interesting. I surprised they haven’t come out with Beanie Baby Cypto yet, rofl.

  • Trading_Nymph

    And they beat like crazy. There is no way Canada can avoid hiking.

  • Trading_Nymph

    Great Trivia Friday!!! I HAVE NEVER HEARD of this at all.

  • panther341
  • panther341

    sister is back home. She scared herself into high blood pressure or something. They threw here out of hospital on Thursday because on December 1 she started a new insurance – Medicare. But they were just doing tests.

  • panther341

    Sunday night and futures are giddy-up all over again. Glad I am not short. Of course I am not long either though.

  • panther341

    Here’s another example of a company currently very “hot”: RIOT Blockchain. Symbol RIOT. Company profile: ” Riot Blockchain, Inc., leverages its expertise and network to build and
    support blockchain technology companies. It is establishing an Advisory
    Board with technical experience intending to become a leading authority
    and supporter of blockchain, while providing investment exposure to the
    rapidly growing blockchain ecosystem.” https://ir.riotblockchain.com/profile

    Incorporated 1998, became a public company 2003. https://ir.riotblockchain.com/faq Click around this website and they haven’t got nothing there.

    You know they ain’t been doing blockchain since 1998! So they are/were a “blank check company.”

  • Trading_Nymph

    very interesting.

  • Trading_Nymph

    I watched it. Still think we are Red by the close.

  • Trading_Nymph

    wow..is she doing a good exercise routine? Being in the hospital for just high blood pressure means she was crazy high.

  • panther341

    She is very crippled from a stroke in 2001 which was caused by blood clots – not high blood pressure. So she gets extra attention. Exercise: for her just walking 200 feet is a major deal – but she actually swims almost every day as well. The stroke she had causes the muscles to contract involuntarily – she can’t control, and this is the kind of damage Botox was originally invented for. So she is actually using a pump with a concoction of drugs including Botox, and as a consequence she has little feeling in her legs. But she gets muscle cramps in her shoulders and back and the swimming helps that so she swims. The fact that she even tries to walk is something they thought she would never be able to do.

    She is also younger than me. She has been on blood pressure meds since 2001 as a precaution. Her diet is dreadful and she refuses to change. Alot of soft drinks and other junk food. She prefers eating fast food to cooking.

    So I have been on a pretty serious diet and exercise drill – since before my sister’s stroke actually. Both brothers had high cholesterol and high blood pressure. One brother is still alive – he is 9 years younger than my sister. Other brother was also younger, and he died of a stroke in 2011. And my cholesterol is 135. My blood pressure is on the high side of normal. Both without any meds. I keep trying to stay off the meds. They have side effects – as do the high cholesterol and blood pressure.

  • panther341

    She was pretty young when she had that stroke. Her son was 12. The brother who died was also young. I am intending to live a normal lifespan even if I don’t eat “normal”.