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Thursday, January 22, 2009

Don't Mention Decoupling in Asia

FT's Alphaville details:

The bottom dropped out of Japan's export industry in December, with exports diving a record 35 percent year on year.
China's economy grew at the slowest pace in seven years as the global recession dragged down exports, increasing pressure for more government spending and lower interest rates. Chinese GDP grew 6.8 percent in the fourth quarter from a year earlier.

However, as Yves over at Naked Capitalism points out:
If you believe the China fourth quarter GDP release, I have a bridge I'd like to sell you.
The 6.8% figure just "happened" to match the median estimate of 12 economists surveyed by Bloomberg News. A look at Chinese exports (as measured in yuan) shows how far things have fallen.