Monday, November 15, 2010

Links November 15: The big risk

The G20 joke. Baseline Scenario
Australia exposed after G20 failure. David Uren
It's worse. RBA says commodities exposed to Chinese exports. RBA
If the Budget isn't overspending, why should export industries be sacrificed to miners? Gittins' hypocrisy.
More sensible ways to manage the resources boom. Tim Colebatch
Why Chinese foreign investment is good. Economist
Why bank equity is cheap. SSRN
How housing slumps end. VOX (h/t Peter Gray)
Week ahead for the Dow. Calculated Risk
Higher margins for sugar futures. Money Game
QEII American housing fail. Fortune
Sell the trumpets. FT
How BOQ can compete. The Australian


The Lorax said...

Did you sleep in today?

That RBA research paper is fascinating, can we have more DLS-style analysis on that later today?

Consistent with the resource-intensive nature of much investment, the results also indicate – in China and elsewhere – a significant role for investment as a source of resource demand. This is in line with previous literature highlighting a dual role for investment and exports as drivers of demand for resource commodities. However, it appears that, over recent decades, a sizeable proportion of China’s investment can be traced to the growth of its domestic and export-oriented manufacturing operations. Thus, while much of China’s demand for resource commodities over this period has been driven by investment, it appears that this investment has in turn been sensitive to global influences.

The Lorax said...

However, one wonders why Chinese demand for commodities accelerated so rapidly in early 2009 when Chinese exports were close to their nadir.

David Llewellyn-Smith said...

Perhaps I should hand you the keys...