The media is awash with soaring unemployment in spain and default fears in PIGS. No such problem exists in this part of the world.

The PMI index compiled by the National Bureau of Statistics and the China Federation of Logistics and Purchasing (CFLP) moderated to 55.8 in January from 56.6 in December.

The most heartening feature of the indicator is the jump in raw material inventories to 52.2 in January from 51.4 in December. The most heartening feature of the indicator is the jump in raw material inventories to 52.2 in January from 51.4 in December. China’s economy survived the global economic slow down, registering an impressive 8.7 percent year-on-year growth last year. Its growth reached 10.7 percent in the fourth quarter of 2009, and is set to exceed 11 percent in the first quarter of this year, indicating strong momentum that some fear could lead to overheating and other problems like high inflation.

Fresbee
Investing Contrarian

New orders and output components slipped while new export orders and import components picked up. New orders and output were 59.9 and 60.5 from 61 and 61.4 in December. In contrast, new export orders rose to 53.2 from 52.6 in December, ending two consecutive months of drops.