Billionaire investor George Soros is expressing concern that declining household spending is having detrimental effects on the economy of China. ¬†There is no doubt that China is slowing and there is a substantial risk that things could get worse. ¬†Fortunately the government has a huge war chest of excess reserves but I’d still be careful investing in businesses that are too reliant on the Chinese economy. ¬†Examples are some of the materials companies and even some heavy equipment manufacturers.

http://www.bloomberg.com/news/2012-10-15/soros-says-china-growth-slowing-on-consumption-share-drop.html

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