China turns to private equity
A remarkable turn has occurred. According to the NYTimes, China has opted to invest about $4b in nonvoting shares of the Blackstone private equity group. I could be completely wrong about this, but it smacks of the same type of investment we saw in the 1970s (and since) by middle eastern countries. The huge profits and trade surplus with the US were turned around and used to purchase sometimes controlling interest in US companies, including banks. Now, instead of black gold, it’s manufactures. It seems China will slowly invest in control of the global economy.
No comments yet.