China has been an economic hot spot over the past few years. Even as the global economy grew weaker last year, the country remained on track and kept backward momentum to a minimum. Now that a global recovery is in the offing, keep an eye on China’s ETFs.
While the world economy shrank 0.8% last year, China’s economy grew 8.7% in 2009 and 10.7% in the the fourth quarter alone. As China’s economy continues to grow and strengthen, there are benefits in store for the rest of us, reports Tony Sagami for Uncommon Wisdom.
The International Monetary Fund (IMF) is calling for a growth rate of 10% this year followed by 9.7% in 2011. While the United States struggles to free itself from the recession, can emerging markets stay on track?
Sagami believes so after witnessing it firsthand. He’s visited factories in China, seen how full the trucks are and talked to the country’s citizens.
- iShares FTSE/Xinhua China 25 (NYSEArca: FXI)