VERY good news for XIN! From the Bloomberg wires:
Chinese corporate earnings are set to climb as much as 10 percent next year as the world’s second-biggest economy emerges from its slowdown and more people move to cities, Russell Investments says.
Companies that can benefit from an increase in domestic consumption may post even greater growth, Gustavo Galindo, who helps manage $8 billion of emerging-market equities for Russell in New York, said in a phone interview yesterday.
“What you have is more and more people joining into the middle class and that trend is very likely to continue,”Galindo said. “When the economy improves, they have to buy more goods and services and they are the ones that will be pushing consumer companies to better profits.”