The statistics in emerging economies are not accurate. The GDP data in China and India, for example, do not reflect their 2012 slowdown. My estimate is that the growth rate in emerging economies declined by half in 2012 from 2011. It could be seen in trade stagnation and weak commodity demand.This concurs with our view that the emerging markets are very vulnerable right now. But that's where most analysts recommend investing. However, governments can play their flim-flam game for a long time before the masses catch on. We are now of the view that the decision has been made at the highest levels in China to whitewash all official numbers, making everything look beautiful. The statistics will continue to be positive for awhile and the negatives will be hidden. Don't be fooled! Wishing you successful investing. For free periodic reports, go to www.dohmencapital.com and just enter your email address.
Clouds Gather as China Bulls Celebrate
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