Market Watch with Tom Waitt

September_12th_2012.mp3 China Enters the 21st Century    Improvement in European and North American equity markets in the last few weeks is encouraging. The naysayers have now shifted their pessimism toward China. Total Electricity Consumption (Click For Larger Picture) Industrial Production (Click For Larger Picture) Despite positive news in Europe and better than expected U.S. Gross Domestic Product (GDP) in the United States which rose 1.7% in the second quarter of 2012 backing up a series of economic indicators showing improvement. Media attention is focusing on a slowdown in China. Market pundits are predicting a 100% chance of a global recession in the coming six months, due to China having a hard landing. What is the best way to find the real growth of China? Historic correlations between electricity consumption and year-over-year GDP growth. The latest number for electricity output/consumption growth in China is 4.5% in July 2012 up from 3.7% in June and 2.7% in May 2012. S