[ARCHIVE] Make Your Move

Positive Signals from Chinese and European Leading Indicators

Dec. 4, 2012

Leading indicator signals from China and Europe suggest positive developments in 2013.

China’s Purchasing Managers Index is moving higher, and the manufacturing sector is growing again, as anticipated. Stimulus spending and an easing of monetary policy are having a positive impact on the economy. In addition, industrial profits and fixed-asset investments are improving.

We never feared a recession in China, but it is gratifying to see that the world’s second-largest economy is set to expand in 2013. Expansion in China in 2013 will be helped by economic growth in the US next year, and it should help stabilize the situation in Europe.

The good news is not just from China.

Europe is showing some signs of life in its leading indicators. Stability and eventually marginal improvement are projected for Europe in 2013. Spain formally requested a bailout from the EU to recapitalize its banks. Stability in Spain’s banking system is a necessary precursor to the economic stability anticipated for Spain and all of Europe in 2013. The aid is expected to reach Spain on December 12. The move is not a surprise, but it does carry some heavy austerity provisions that will help Spain in the long run.

About the Author

Alan Beaulieu Blog | President

One of the country’s most informed economists, Alan Beaulieu is a principal of the ITR Economics where he serves as President. ITR predicts future economic trends with 94.7% accuracy rate and 60 years of correct calls. In his keynotes, Alan delivers clear, comprehensive action plans and tools for capitalizing on business cycle fluctuations and outperforming your competition--whether the economy is moving up, down, or in a recession.

Since 1990, he has been consulting with companies throughout the US, Europe, and Asia on how to forecast, plan, and increase their profits based on business cycle trend analysis. Alan is also the Senior Economic Advisor to NAW, Contributing Editor for INDUSTRYWEEK, and the Chief Economist for HARDI.

Alan is co-author, along with his brother Brian, of the book MAKE YOUR MOVE, and has written numerous articles on economic analysis. He makes up to 150 appearances each year, and his keynotes and seminars have helped thousands of business owners and executives capitalize on emerging trends.

Prior to joining ITR Economics, Alan was a principal in a steel fabrication company and also in a software development company.