China Has Ground To A Halt: "On The Ground" Indicators Confirm Worst-Case Scenario - www.zerohedge.com

Excerpts from article:

...Back on Monday, when analysts and investors were desperately seeking clues whether China has managed to reboot its economy from the 2-week long hiatus following the Lunar New Year/Coronavirus pandemic amid the information blackout unleashed by the communist party in the already opaque country, we pointed out some alternative ways to keep tabs of what is really taking place "On the ground" in China, where Xi Jinping has been urging local businesses and workers to reopen and resume output, while ignoring the risk the viral pandemic poses to them.

...Virtually all of China - and all those critical supply chains that keep companies across the globe humming and stocked with critical inventory - remain on lockdown.

...As confirmation, while we wait for an update from Morgan Stanley on the latest Chinese pollution data here is JPMorgan showing that while traditionally daily coal consumption - the primary commodity used to keep China electrified - rebounds in the days following the Lunar New Year collapse when China hibernates for one week, this year there hasn't been even a modest uptick higher, indicating that so far there hasn't been even a modest uptick in output.

...Conveniently there is a way to track rudimentary traffic patterns across some of China's key metro areas, and they show that - in a confirmation of the worst-case scenario - activity, as measured by travel, across most of China appears to have ground to a halt.

Tweets mentioned:

https://twitter.com/SquawkCNBC/status/1227919880328040449

https://twitter.com/jenniferatntd/status/1227994473017303040

https://twitter.com/jenniferatntd/status/1227989724092129281

https://twitter.com/jenniferatntd/status/1227783813843079168

https://twitter.com/SquawkCNBC/status/1227919880328040449

Submitted 5 days ago


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