Thursday 23 May 2013

Oh, horror of horrors

A financial institute

Last night HSBC delivered one of their indexes concerning the buy interest of Chinese industry. This little economy index is created so that anything above 50 is good and below 50 means that the interest to buy or the power to buy is slightly decreased. The same economy people (for some reason they are usually called experts, I have no clue why because they are usually wrong) had estimated that the value should be 50.4 and horror, horror it turned out to be 49.6 as a scientist I would even call that an insignificant variation of error and if one were to apply strict scientific rules for error calculation I really wonder what would come out of it.

Either way the HSBC experts are claiming that the Chinese industry is currently buying slightly less raw materials for their production. This then caused Japan to drop significantly which... honestly with an over 50% rally on the stock market the last 6 months it was bound for a correction anyway. Of course Europe follows the trend from Asia and are also dropping around 2% today.

So the conclusion is that: Today is a good day to get a share in a company at least 2% cheaper than what it was yesterday. Go for it!

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