Happy New Year?
Here are my market ramblings this morning as I look out over assets that are in free fall as China, Middle East tensions, and the reality that central banks can only do so much to take the place of organic growth and markets working through the excesses of years gone by:
In a few hours Chinese consumers will be limbering up their fingers and pounding their keyboards or smartphones to make 2015 Singles Day the biggest day ever in retail history. In many ways Singles Day is a way to assess not only Chinese consumption trends but the overall core legacy ecommerce business.
After missing on revenues Alibaba (BABA, quote) is taking a beating that comes when expectations are high. But is the multiple? At current pricing on E’16 BABA trades around 25X EBITDA or a major discount to Amazon.
Last night, China printed 48.3 on the HSBC Flash PMI, but don’t tell U.S. corporations who call China a major market that China is slowing.