By Lawrie Williams

This rather long article was first posted on sharpspixley.com a day ago. I am now posting it in a slightly edited form here on lawrieongold.com as it makes a number of significant, and valuable, observations on how one should look at China’s economic reboot and that China has entered a predictably painful long term restructuring of its economic model which will catapult it into a far stronger global position in the years ahead and probably usurp America’s current position as the top global financial powerhouse. I am hugely indebted to Simon Hunt of UK-based Simon Hunt Strategic Services for much of the content here. His analysis of what is going on in China is something I value most highly and really gets to grips with understanding what the Middle Kingdom is achieving and how it views U.S. financial policy.

Excessive negativity about China is not supported by fact

The following comments are taken directly from Hunt’s analysis of what is really going on in terms of Chinese economic policy to, in part, deal with counter measures put in place by the US Administration which would like to maintain its global economic dominance. Hunt has been one of the most astute of China watchers over the years and visits the country frequently in pursuit of his analytical advice – largely with respect to the country’s huge impacts on the global resource sector.

He deplores the manner in which many analysts and commentators have covered the printing presses with an aura of pessimism with regard to the Chinese economy. He feels that what is going on in China is either misunderstood, ignored or designed to encourage a massive fund outflow that could destabilise the country’s domestic economy. The latter he considers as just another tool in Washington’s geopolitical kit-bag.

Hunt comments that it is easy to forget how important China has become to the global economy and its financial system with so much pessimism being put out by politicians, their tame economists and the media. He feels that integrating China into the world structure would be a win-win option for us all but it would imply the end of the USA’s domination of the world and its continued hegemonic aspirations.

And he sees this as the nub of the problem: America wants to stay King-Pin. China has long since recognised that America does not want to share power with anyone so set up its own institutions with other countries who share similar views by creating the New Development Bank (BRICS), the Asian Infrastructure Development Bank and cementing ties with Russia and other BRICS and SCO members....ARTICLE CONTINUES HERE:

http://lawrieongold.com/2015/11/03/negative-reporting-on-chinese-economy-nor-supported-by-fact/

Lawrence (Lawrie) Williams is a well known London-based writer and commentator on financial and political subjects, but specialising in precious metals news and commentary. He is a qualified and experienced mining engineer having graduated in mining engineering from The Royal School of Mines, a constituent college of Imperial College, London – recently described as the World’s No. 2 University (after MIT)....