China: Ready To Rebound?

Dynamic Wealth Report  |  May 21, 2014 The biggest fear mentioned by retirees and near retirees is running out of money in retirement. Do you have enough money in your account to survive another market shock? Learn how commodities can help diversify your portfolio. Read the report here… China:  Ready To Rebound? By Justin Bennett, Commodity Trading Research Commodity bulls received some great news last week… China revealed stronger than expected import/export data in their merchandise trade balance report.  April exports grew by 0.9% year-over-year while imports jumped by 0.8%. Now I'll admit, at first glance the numbers don't look all that hot. But dig a little deeper and you'll find something interesting… The consensus estimate going into the report was for a year-over-year export drop of 3.5%, and an import downdraft of 3.2%.  Clearly, the Chinese economy performed much better in April than economists were predicting. And that's not all… April's trade balance made a dramatic turnaround from March's highly disappointing report. In case you missed it, exports shrank 6.6% in March while imports plummeted 11.3%.  The bearish report had plenty of investors worried China was on the verge of a major economic slowdown. If you're concerned about China's growth, take solace in the fact year-over-year exports to the US jumped to 12% in April.  At the same time, the country's export to the European Union surged 15.2%. This data not only supports the idea that China's economy is picking up steam, but so are the US and Europe's. What's all this information have to do with commodities? In case you're unaware, China is one of the largest commodity consumers on the planet. According to the International Monetary Fund (IMF), nearly 40% of global copper and aluminum production goes to this one country.  What's more, China consumes approximately 50% of the world's cotton and coal production. Of course, China is a big (and growing) consumer of soybeans, wheat, and crude oil. So it goes without saying the Chinese economy plays a huge role in the supply/demand fundamentals for various hard assets. Keep an eye on Chinese economic data for the next few months… The April export/import rebound could be the start of a new bullish trend in Chinese economic growth.  Chinese authorities are working feverishly to reform their country's economy away from investment-led growth to that of internal consumption-led growth. Economists see the changes creating an initial drag on the Chinese economy, which is likely what we've seen in recent months.  However, the long-term prospects for growth will likely improve once the economy is successfully restructured. If Chinese policy makers succeed, be prepared for an upward ride in various hard asset markets later this year! Until Next Time, Justin Bennett How old will you be when you retire? It's no secret many Americans will be working until the day they die… Don't let it be you! Follow the NBER "Clues" to your early retirement. Here's how… Copyright 2014 Hyperion Financial Group, LLC.  All Rights Reserved.  Protected by copyright laws of the United States and international treaties. This email may only be used pursuant to the subscription agreement controlling use of the Dynamic Wealth Report website and any reproduction, copying, or redistribution of this email or its contents, in whole or in part, is strictly prohibited without the express written permission of Hyperion Financial Group, LLC. LEGAL DISCLAIMER: Neither Hyperion Financial Group LLC nor any of it's employees, contractors or officers are registered investment advisors or a Broker/Dealer. As such, Hyperion Financial Group, LLC does not offer or provide personalized investment advice. Although Hyperion Financial Group, LLC employees and contractors may answer general customer service questions, they are not licensed under securities laws to address your particular investment situation. Nothing in this report, nor any communication by our employees or contractors to you should be considered personalized investment advice. Owners and writers may have positions in the securities that are discussed. However, no associated employees or contractors may intentionally engage in any transaction that directly or indirectly competes with the interests of our subscribers. We accept no compensation from any companies mentioned in our reports. Past performance is no guarantee of future results. All information is issued solely for informational purposes and is not to be construed as an offer to sell or the solicitation of an offer to buy, nor is it to be construed as a recommendation to buy, hold or sell any security. All opinions, analyses and information contained herein are based on sources believed to be reliable and written in good faith, but no representation or warranty of any kind, expressed or implied, is made including but not limited to any representation or warranty concerning accuracy, completeness, correctness, timeliness or appropriateness. Investments recommended in this publication should only be made after consulting with your financial advisor.

This message was sent to ignoble.experiment@arconati.us from: Hyperion Financial | 20701 N Scottsdale Rd, Ste 107-154 | Scottsdale, AZ 85255

Email Marketing by

Manage Your Subscription  |  Forward To a Friend