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Wednesday, 24 July 2013

2013.07.24 13:31:59 RESEARCH: China will see a bumpy landing over the medium term

Quotes from Societe Generale Cross Asset Research:

-Our core scenario is that China will see a bumpy landing over the medium term, with growth grinding persistently lower from 7. 4 % in 2013 to 6% in 2017. However, there is still a non-negligible risk that China could land hard, with growth of less than 6% in 2013.

-In an extreme hard landing scenario, we estimate base metals could drop 40%, while the US dollar rallies and treasuries outperform other debt markets and global equity markets.

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