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.
- October 29, 2011: Chanos Interview: China Slowdown Just Beginning
- January 2, 2012: Major Slowdown in Global Trade Coming Up; Think the U.S., China, Germany, or U.K. will Be Immune?
- March 30, 2012: The Dating Game: Michael Pettis Challenges The Economist to a Bet on China
- April 16, 2012: 12 Predictions by Michael Pettis on China
- April 9, 2013: Michael Pettis Interview with Lauren Lyster: Decade of Slower Growth for China
- July 15, 2013: “China Urbanization Growth Fallacy”
- December 2, 2013: “Emerging Market Slowdown to Last for Years”
$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