Harpex Container Index stalls

The Harpex Index of container ship rates is retreating. Failure of support at 600 would warn of another test of the 2010 low. The index, calculated by Harper Petersen ship brokers, reflects international demand for container vessels and is a useful measure of international trade in light manufactured goods. Falling international trade would have the greatest impact on export-oriented Asian markets like China, Taiwan, Japan and South Korea.

Harpex Container Ship Index

China’s Low-Wage Export Engine Starts to Sputter – China Real Time Report – WSJ

UBS Economist Jonathan Anderson: Beijing has relied on super-low wages to win a bigger slice of global exports…….But for the past 24 months….China’s share of low-end light manufacturing imports into the U.S. and European Union “has peaked” at around 50% of those markets. In the U.S. market, Vietnam, Bangladesh, Indonesia and Mexico are picking up market share at China’s expense. In the EU, it’s those Asian nations along with Poland, the Czech Republic and Hungary.

via China’s Low-Wage Export Engine Starts to Sputter – China Real Time Report – WSJ.

Look for growth in these markets: Vietnam, Bangladesh(?), Indonesia, Mexico, Poland, the Czech Republic and Hungary.

Chinese manufacturing index rises but export outlook dips | The Australian

Exports were a problem area during the month, as the official survey’s new export orders subindex fell to 48.3 from 50.4 in July, slipping into contractionary territory for the first time since April 2009.

Economists said the weak exports reading could be an ominous sign for the export-dependent economy.

“It is a sign that China was affected by turbulent global markets in August,” said Standard Chartered economist Li Wei.

via Chinese manufacturing index rises but export outlook dips | The Australian.