r/baba
Pinduoduo down bad
PDD and Chinese consumer tech stocks are crashing due to the government's focus on supply-side economics and indifference to deflation.
- Chinese government prioritizes supply-side economy over domestic demand, hurting consumer tech.
- Stubborn ideology that consumption is not a key economic component.
- Deflationary environment in China negatively impacts consumer spending and corporate earnings.
I feel like all consumer related tech companies are getting slaughtered. Maybe the writing is on the wall where the chinese goverment don't care about domestic demand and is only focus on the supply side of the economy. Unfortunalty it might just be a stubborn ideology in china that consumption is not an import component of the economy. Xi jingping has been quoted before saying he doesn't understand why deflation is a bad thing. Even though it's obvious to everyone it is.
Real estate bust still in effect probably. A lot of people are underwater and dont have any spare change after paying off debt.
It's basically permanent for most Chinese because most Chinese do not live in Tier 1 cities. It's a lost decade for most Chinese.
Putting Xi in your explanation is everything! Doesn’t matter for any positive news or negative news; BABA can build fortress on moon & Xi won’t approve to hold China regime standards. Let’s see how AAPL/BABA deal plays out {notice how I put AAPL first} & Qwen revenues…
Let's be real. Xi is incompetent as f. And he's here to stay another decade. Freaking grandpa living in a delusion of power tripping with family members who magically are billionaires.
For a second I thought that you are writing about USA ;)
I think it's cause the EU fined Temu quite harshly for selling fake branded goods
Bro might as well invade Taiwan at this point.