China's economic growth slows down

Introduction: how does Dr copper reflect the slowdown of China's economic growth and the over issuance of money by central banks around the world? JZQ China's economy bid farewell to the era of rapid growth has become the consensus of the industry For the commodity market, this is obviously not good news, especially for the industrial products with high economic relevance The economic slowdown has restrained the demand growth, and the bull market pattern that has lasted for ten years is now suffering from bussiness According to this year's report on the work of the Chinese government by JZQ, the main expected targets for the domestic economic and social development in 2013 are: GDP growth of about 7.5%, and consumer price growth of about 3.5% According to the work report, to coordinate the economic growth with the potential growth rate, to adapt to the supply capacity of production factors and the bearing capacity of resources and environment, and to accelerate the transformation of economic development mode and adjustment of economic structure will become the focus of economic work JZQ "the biggest impact of China's economic slowdown on commodities is the slowdown in global industrial consumption growth." Zhu Mingyuan of Dongzheng futures said that since 2000, the rapid growth of China's economy has been the main source of the sharp rise in global industrial consumption Since 2010, China's consumption has slowed down significantly, resulting in the lack of global consumption growth and the problem of excess It has been difficult for China to form a consumption pull on global commodities The periodic inventory rise caused by domestic excess capacity has become the most unstable factor of global commodities According to relevant data of JZQ, at present, China's industrial overcapacity is extremely serious, and the overall capacity operating rate of domestic industry is between 60% and 85%; while the inventory scale is huge, and the inventory of some factories reaches half a year or more "If there is a problem with China's huge inventory, it will have a huge impact on global commodity prices." Zhu Mingyuan Looking back at the historical trend of JZQ, there is a high correlation between the demand for copper, steel and other large industrial products and economic growth Jzq Taking copper as an example, after the outbreak of the financial crisis, the economic growth rate has declined rapidly, and the demand for refined copper has not been spared; in the post crisis era, the economy has recovered rapidly under the stimulus policy, and the surplus funds are seeking for liquidity exports, and the demand for import financing has surged, and the growth rate of refined copper demand has exceeded 50% for several months in 2009; since 2011, the domestic real estate regulation and control policy has continued to play Under pressure, with the pace of China's economic structural adjustment, the demand for physical and financing refined copper has declined The same is true for JZQ steel Steel demand and price are highly positively correlated with macro-economy According to Hu Yanping, an analyst at Zoomlion steel, China's economic growth has changed from high-speed growth before to steady and fast growth, especially in 2011-2012, the quarterly GDP growth continued to slow down, and the steel industry has been directly impacted According to JZQ data, the growth rate of actual steel consumption fell to 3.2% in 2012, and the annual average price of major steel varieties fell more than 10% year on year "The continuous downturn of steel demand and price over the past year is not only related to the slowdown of macroeconomic growth, but also related to its huge capacity." According to Hu Yanping JZQ is because of this In the eyes of most analysts, China's slowing economic growth and slow global economic recovery have declared the end of the commodity bull market represented by industrial products JZQ "after the urbanization policy is lower than expected, the new financial regulation of CBRC makes the market worried about the reduction of the total amount of social financing Investors are further worried that this will affect the investment growth and even the process of China's economic recovery, which is negative for commodities." He yewei, an analyst at Baocheng futures, said that at present, investors have different opinions on China's economic recovery The uncertainty of the economic environment has suppressed the further strengthening of industrial products The cyclical downward trend is still the leading force of the whole commodity market Xu Yongqi, an analyst at JZQ Everbright futures, said that China's economy relies on fixed asset investment to drive GDP growth After the financial crisis, due to large-scale stimulus policies, most industrial products have serious overcapacity He believed that the slowdown of China's economic growth inhibited the growth of refined copper demand In the medium and long term, the pattern of oversupply is becoming more and more obvious However, the global monetary easing environment still exists, and copper prices still have some support downward Jzq