Chinese GDP, retail sales and industrial production figures are set for release late tonight. There has already been talk that industrial production has leaked and will rise 14.1% y/y versus a 12.3% in August.

This commentator says don’t believe the hype: China is building production capacity at a time when the world doesn’t need it and it will ultimately pay a price for doing so…

http://www.forexlive.com/

China’s economy expanded at the fastest pace in a year as stimulus spending and record lending growth helped the nation lead the world out of recession.

http://www.bloomberg.com/apps/news?pid=20601087&sid=aktHmtKQaKO8

 the only government that is more corrupt than China is the U.S.

Paulson, Bush, Cheney, and now Obama, Geithner, etc.

heck, Geithner was a tax cheat at the time he was nominated Treasurer

U.S. Federal Reserve Chairman Ben Bernanke has warned that the global imbalances between the United States and China must be addressed immediately to prevent future economic crises.

http://www.cfr.org/publication/20486/avoiding_a_uschina_trade_showdown.html?breadcrumb=%2Fissue%2F

China may face an economic slowdown in the middle of next year because the nation’s growth model is unsustainable, said Stephen Roach, chairman of Morgan Stanley Asia.

Economic growth in China accelerated to 8.9 percent last quarter, fueled by government stimulus spending and more than $1 trillion of new bank lending. That rebound is causing complacency in China, which still faces “tough challenges in years ahead,” Roach said today at a financial forum in Shanghai.

http://www.bloomberg.com/apps/news?pid=20601087&sid=auBO9Exr1AI8

China predicted an acceleration in industrial production and reported a 190 percent jump in overseas investment for the third quarter, underscoring the nation’s role in driving a global economic recovery

http://www.bloomberg.com/apps/news?pid=20601087&sid=aK6Mf.cvDx98

 I am not surprised that China sees faster production gains in Q4; after all, China is fabricating all the numbers, much like the U.S.

for the TENS of MILLIONS of people displace from China cities back to their villages and poverty-stricken life, Chinese government could care less.

much like the 20+% unemployed here in the U.S. while Hank Paulson gets MILLIONS in salaries.

oh, wait..... we only got 9.8% unemployment rate

“OUR future history will be more determined by our position on the Pacific facing China than by our position on the Atlantic facing Europe,” said the American president as he contemplated the extraordinary commercial opportunities that were opening up in Asia. More than a hundred years after Theodore Roosevelt made this prediction, American leaders are again looking across the Pacific to determine their own country’s future, and that of the rest of the world. Rather later than Roosevelt expected, China has become an inescapable part of it.

http://www.economist.com/specialreports/displayStory.cfm?story_id=14678579

The head of the Chinese central bank says that the CNY should “have a certain international status”.

He’s why it doesn’t: It’s fixed to the dollar. Let it float, and it will become an important currency in international trade overnight.

Also on the wires, the much-followed George Soros says he sees the current economic recover a liable to run out of steam, and that a double-dip is possible.

http://www.forexlive.com/61457/all/pbocs-zhou-yuan-should-have-certain-international-staus

Yet they were able to just throw 44 billion into the olympics.

China has created 7.57 million new jobs in the first 8 months of this year in a bid to guarantee employment amid global economic downturn, a senior legislator says.

http://www.forexlive.com/

Looks like there is trouble in economic paradise. A source in the Brazilian finance ministry tells Reuters that China’s fixed exchange rate is a problem for the BRIC nations. China is seemingly immune to international pressure that goes against its national interest but it is good to see the debate is becoming more one-sided with virtually everyone asking China to allow for faster Yuan depreciation.

UPDATE: Japanese officials echo those from Brazil, saying it is desirable for China’s Yuan to be flexible. Japan has not been in favor of a strong JPY, the official said.

http://www.forexlive.com/

The Yuan is significantly undervalued, the IMF says, while dollar (?) and euro are on the strong side of their exchanges rates, the IMF said Saturday

http://www.forexlive.com/

 I agree, the Yuan is way undervalued.  But how would you have the Chinese change that?

Stocks rose, sending the benchmark index for emerging markets to its biggest six-day rally since July, and commodities gained after China’s industrial production and Japan’s machinery orders climbed. Gold advanced to a record.

The MSCI Emerging Markets Index added 1 percent at 10:18 a.m. in London, boosting its six-day increase to 7.7 percent. Futures on the Standard & Poor’s 500 Index were 0.8 percent higher. Gold rallied as much as 1.5 percent to $1,117.33 an ounce in London, while copper rose 1.7 percent.

http://www.bloomberg.com/apps/news?pid=20601087&sid=awIh5yr1fiws&pos=2

China’s central bank said foreign- exchange policy will take into account global capital flows and changes in major currencies, prompting speculation it will allow the currency to strengthen as the dollar weakens.

Policy makers will improve the setting of the yuan’s rate in a “proactive, controlled and gradual manner and based on international capital flows and movements in major currencies,” the People’s Bank of China’s said today in a quarterly report. It scrapped the pledge made in its previous such report to keep the yuan “basically stable.”

http://www.bloomberg.com/apps/news?pid=20601087&sid=a5u6Iaa8j_WY&pos=3

http://www.telegraph.co.uk/finance/comment/ambroseevans_pritchard/6575883/China-has-now-become-the-biggest-risk-to-the-world-economy.html

China is among the emerging markets facing risks of property and commodity market bubbles, central bank adviser Fan Gang said, joining officials from the region in expressing concern about surging asset prices.

“The real risk is really asset bubbles,” Fan, who heads the National Institute of Economic Research, said at a business conference in Hong Kong today. A “Chinese asset bubble would be something very dangerous, that would cause the overheating” elsewhere as well, he said.

http://www.bloomberg.com/apps/news?pid=20601087&sid=awonLXtlhUzE&pos=4

China is “passive” on the value of the U.S. dollar, central bank Governor Zhou Xiaochuan said, signaling that policy makers aren’t yet prepared to loosen controls on the yuan.

“It’s like watching a tournament,” Zhou said at the BusinessWeek CEO Forum in Beijing today. “We just watch the game. Regardless who wins or loses, the issue of whether the winner or loser benefits the spectator doesn’t arise.”

http://www.bloomberg.com/apps/news?pid=20601087&sid=anQGdFIjfwPU&pos=2