…that’s a line from ace emerging markets equity trader Martin Taylor.
Today, the WSJ reports that China has an investment outflow of 3% of GDP.
“It’s not a good sign when local businessmen begin to think it’s better to take money offshore, especially when the world economy is in such bad shape.”
A month ago, I wrote about a troubling annecdote from China that emphasized the same thing.
In quiet conversations and background chats with Chinese officials and analysts about the state of things in China, the tone of despondency and cynicism was pervasive while the views of international attendees on China were generally bullish and upbeat.
If Taylor is right, then the rest of the world has it wrong on China.
