Goldman Sachs CEO says China Growth to Have ‘Huge Consequences’ Globally

Goldman Sachs Group Inc. Chairman and Chief Executive Officer Lloyd Blankfein said China’s economic growth will have “huge consequences” for global expansion prospects.

“The China growth story is going to be the story of the next 30-40 years,” Blankfein said in an interview with John Dawson from Hong Kong while attending the Goldman Sachs Global Macro conference. “There are going to be interruptions.”

Goldman Sachs will be careful not to “overfund” its own operations in China, Blankfein said. The New York-based bank will “scale our investments to the opportunities” there, he said.

Blankfein is extremely late to the recognize the China slowdown implications. I have been discussing the implications of a China slowdown for 2-3 years at least. Here is a sampling.

Note: Video no longer available for the first link below.

$SSEC Shanghai Stock Index

Was that Blankfein revelation news, or was it 20-20 late-to-the-party hindsight projected forward? One might also wonder if the Blankfein announcement is some sort of contrarian indicator.

Mike “Mish” Shedlock