Macro Nugget: China is booming!
The Li Keqiang Index posted its biggest monthly increase since 2005 in February, and multiple indicators are now blinking green for Chinese momentum.
First our nowcast indicator for China blinked green, then we saw increased commodity buying on the back of the 5% GDP Target announcement, and now the Li Keqiang Index has posted it’s biggest monthly increase since 2005!
Looks like the cyclical rotation is on for good
Chart 1: Li Keqianq is signaling further momentum in China
2 Comments
Right, I’ve also noticed the Index’s soaring status. However, there might be a problem when I separately assess its components, i.e. industrial eletricity consumption, medium & long-term loans and railway freights. None of the 3 components show indication of breakthrough.
I am still wondering…
Hi,
Thanks for flagging! I also saw some people on Twitter commenting on this matter, so I will look into it soon.
/Oskar