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Much well we have heard a -- thank you goes up to -- always.
We have heard the analysts fear mongering about our Federal Reserve of the money being pumped into our economy and what happens when the cash stops flowing but maybe we're saying.
It play out in China.
Bank of China governor -- just -- is Ben Bernanke's talk apartment China.
Last week you began efforts to try shake loose from stimulus the market got whacked sport traders unease from -- decisions of Bernanke's comments over the last seven days.
Is a big red flags for investors Charlie Smith is the chief investment.
Fort -- capital he joins me now and then I think what we have -- could be our future Charlie do you agree or disagree with that.
Well yeah it is sort of like a parallel universe the Chinese have.
We're very aggressively stimulative after the two -- really collapse and now we have a new regime there.
Which you had to appears to have different plans they're trying to rein in the shadow banking system.
Really -- credit so yeah there are certain parallels that are intriguing.
-- give us a bigger storyline here with China Charlie and -- the concern and we -- to -- just come out with us now as well.
Is that -- how many stories have you seen about empty cities and -- these banks have been funding construction in China for years.
Was no consumers to move and to them.
Now -- could be sitting at the ill effects that they can of their own housing crash could be their own economic collapse were we're hearing comparisons to -- -- 2008 for China art art art do we need to be that concerned or is this an overblown fear in your opinion.
I think it is somewhat overblown I think it's hard to know exactly how much excessive housing has been created.
You know it seems -- with a seven to 10% growth rate in GDP.
It's pretty easy -- fill up and empty city over a period of five to ten years.
Verses a GDP growing only at two or three it's gonna take a long long time so what.
Sure I don't ends and reality I have started -- coming at me to be rude but what's real -- what they're GDP yet and -- week.
All we could do was trust the data that we get from the Chinese but but a lot of that is kind of an -- I've heard it called the black box at one point a black hole -- you well.
I mean all they can trust is what they tell us but these -- state owned businesses state owned banks.
That are fun in this expansion and this is been going on promised a decade.
Yes it is it's it's very very much opaque you have to try to look at the absolute volumes of commodities that are being imported.
You have to look it you know what the export.
Volumes are not just the nominal numbers that come from the government so it's -- yeah I agree it's a very -- very hard to know what the absolute numbers are.
That broadly you know preach when he LA we -- 10% annual growth.
The numbers we're hearing today or in the 7% range.
Seems to me that an economy that's -- actually growing at seven -- -- shouldn't have a lot of problems telling.
These cities -- got -- -- want to bring your attention back here to the US markets only that was one problem for us yesterday it was.
China but you know back when you're on the -- back in January your recipe -- it was 15100.
You're actually bumping that up to 1550 now you mentioned that earlier in the year that you were you looking at you with.
Thought about it at the time not you're doing it this fifteenth at the last jump we're gonna see from Charlie.
I would I would.
It depends all on earnings we've already seen -- second quarter pre announcements are leaning toward the negative side so.
You know if we see another push up in earnings we get -- -- -- 109 range on S&P earnings for the year we might put chart target up but.
You know we don't really season to put the senior reason pushing up momentarily from there until we see much better earnings.
Charlie before LA got about a time but I do want to let our viewers know the back on -- 2090 picked Boeing.
Stock is up 32% since you picked it I wanted to give you a shot and we still like it is still until well there you go yes up.
Paris air show numbers were terrific and -- ten version is selling really well I -- met carpet capital let's -- -- -- -- starlink.
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