Xi says China will continue to be the biggest enging of world economic growth

This isn’t a market moving comment but it advances the debate around what sort of stimulus is coming from China this week.

I think the overall negative sentiment around China — particularly in the long term — is way overdone. Yes, the stock market is weak but a good portion of that is because Chinese companies are competing so hard on low margins. Ultimately, that’s a path to progress, not the opposite.

In the real economy, real estate is a major drag but it won’t be forever and even if trade with the US is materially curbed, it’s a big world out there and there’s nowhere that can compete with Chinese manufacturing.

This article was written by Adam Button at www.forexlive.com.