Good riddance/China news/See what Manpower had to say about the labor market

Good riddance Yahya Sinwar.

Gold is at another record high now above $2,700 and while it is getting more attention, I'm amazed at how little still. We remain long and positive, silver too. 

Chinese stocks are rallying after their Q3 GDP figure and some September stats were above expectations. Also, Tianjin, another Chinese city (of 13mm people) relaxed home purchase restrictions. Chengdu, a city of 21mm people, eased the rules on applying for hukou which would allow non natives to get residential registration in their city with hopes in turn that they buy a home. GDP grew by 4.6% y/o/y in Q3 vs the estimate of 4.5%. In September, retail sales were up by 3.2% y/o/y vs the forecast of 2.5%, industrial production rose 5.4% y/o/y vs the estimate of 4.6% while fixed asset investment was about in line. Home prices in September fell again but let's see what happens with them as the recent steps work its way through. 

Bottom line, to me the key for the Chinese economy (outside of the big picture challenges of an authoritarian government that has put a chill on the historically vibrant entrepreneurial culture) is to stabilize the housing market as once home prices stop going down, the risks and opportunities can then be quantified. I want to remind those that think sending checks in the mail to Chinese consumers is the answer, they have $20 trillion of savings already. 

We still own and like the Macau casino stocks, along with Trip.com and AIA Group. AIA Group by the way survived the regime of Mao so hopefully it can with Xi.