Shares of Chinese company Cogo Group, Inc. (COGO, quote) finished on a high note Friday, spurred by the announcement that founder, CEO and chairman Jeffrey Kang intends to acquire 30% of the company’s total assets, liabilities and revenue. Kang will purchase this portion of Cogo through Envision Global Group, his personal investment venture.
Between the latest rare earth news and lingering dismay over shifting trade balances, China is at the center of every trader’s world right now. We talked about it today on Trading the Globe.
Last week’s manufacturing numbers out of Beijing were only a taste of what pretty much everyone already suspected: Chinese factories are alive and well and ramping back toward growth mode. From here, watch the non-manufacturing numbers more closely.
McKinsey & Co conducted a study on China’s economic growth and determined that Beijing’s efforts to shift from export to private consumption will be the primary driver through 2020, representing 43% of all growth by that year as opposed to 26% at present.
A few weeks ago, here on EmergingMoney.com I wrote an article titled “Is Chinese real estate actually suggesting a melt up…not down?” in which I made the argument that there was a strong similarity in the way China’s real estate stocks were behaving relative to China to the way U.S. homebuilders in early October. How are we doing?