China’s economy is slowing and many are worried about a Lehman-like credit crisis.
Many are attributing the rout in global markets, at least in part, to these concerns.
When Bloomberg TV’s Stephanie Ruhle and Erik Schatzker asked PIMCO’s Bill Gross if there’s anything out there in the emerging markets space, Gross said emerging markets are getting cheaper but have many problems.
He then went on to compare China to some pretty nasty meat. From Bloomberg TV:
“The last wild card, Erik, in terms of emerging market space obviously is China. Is it 6 per cent? Is it 7 per cent? Is it 5 per cent? I call China the mystery meat of emerging market countries. Nobody knows what’s there and there’s a little bit of baloney, so we’re just going to have to wonder going forward through this year as to the potential problems in China and other emerging markets.”