China Buyers Defer Raw Material Cargos

China Buyers Defer Raw Material Cargos

www.cnbc.com

Chinese consumers of thermal coal and iron ore are asking traders to defer cargos and — in some cases — defaulting on their contracts, in the clearest sign yet of the impact of the country’s economic slowdown on the global raw materials markets.
The deferrals and defaults have only emerged in the last few days, traders said, and have contributed to a drop in iron ore and coal prices.

“We have some clients in China asking us this week to defer volumes,” said a senior executive with a global commodities trading house, who warned that consumers were cautious. “China is hand to mo

(visit the link for the full news article)

In the past few months the Baltic index was in total colapse (shipments to Europe mainly from China).. which is now causing slow downs in China... which means that Gold and Silver as well as other raw materials and possibly oil.. will also collapse... and not because JPM is selling contracts.. As China/Asia was the last growth area for the world... it may cause a longer term recession and deflation...

www.cnbc.com
(visit the link for the full news article)

wow.....just wow. every australian here on ats should be sitting up and taking notice of this. we have been told time and again by our government that we are immune to the whole gfc because of our selling of raw materials to china. there has only been a handful of people who have been saying that china's boom CANT last.

well here we go.....things are about to get very very ugly here in australia if china even sneezes. we will get pneumonia.

Looking at all the indicators and how economic policy has been set for so many years now, I can't help but think that we are in for a world-wide depression. The policies in place have been trying to stave it off, but that will only make it that much worse when it happens. I am hopeful for the future, but I don't have a lot of faith that anything good is coming in the near future.

reply to post by R_Clark

Some people stand to make some money there, and a whole lot will lose.... a lot. Watch who makes the money in the collapse, that might be who tipped the first domino over to get things started.

All Economies are based on belief. Bartering of goods that are actually necessary is the only secure real economy that exists. The Economy has been a fabrication since it started being backed by immaterial things. Even gold has no real value but we believe it does. You see, this illusion was created a long time ago so most people don't understand it is an illusion. Most people think that those failures in history don't apply to them. Not much of what we see in this world is real except the damage we have done to the planet.

Originally posted by bellagirl
wow.....just wow. every australian here on ats should be sitting up and taking notice of this. we have been told time and again by our government that we are immune to the whole gfc because of our selling of raw materials to china. there has only been a handful of people who have been saying that china's boom CANT last.

well here we go.....things are about to get very very ugly here in australia if china even sneezes. we will get pneumonia.

That's the downside to putting all your eggs in one basket.

Governments never learn.


I think the collapse is very near, between Greece dragging down the Euro and JPMorgan losing a reported 2 billion (real number is closer to 5 or 6, but could grow to as much as 50 billion if others get antsy) there is an unease on Wall Street. Facebook's IPO is tanking and China is down to hand to mouth for manufacturing. Not good news for the markets.