STEPHEN BELL: China’s demand for iron ore is ‘flattening out’, a senior executive at BHP Billiton Ltd. said Tuesday.
Demand growth for the commodity used to make steel will drop “to single digits if it is not already there,” Ian Ashby told a press conference in Perth.
Well, Chinese government is adapting a kind of “counter-cycle” economic initiative. I think this is a smart strategy as this will result in cheaper costs for its continued growth, and provides highlight in the world economic landscape in contrast of lot of doom figures else where–that will enhance their “power of voice”–at least that is what they hope to achieve.
However, economy has its own way to go. External manipulation may off-track it for some time, but I really wonder this kind of “adjust and tune” approach by the Chinese government can twist its economy for how long? The Fed has been doing similar things during the past several years with limited success, however, will there be a “settlement day” for all the tricks they play?
May be :P)