SUN Hong-Tao Dong: World Has 3-5 Years of Deleveraging

China- According to investment financial specialist SUN Hong-Tao Dong, the most important global macroeconomic changes of the global economy are entering a long period of deleveraging. In China the deleveraging process will continue for 3-5 years , at least to 2012. The European economy the deleveraging process will be longer with some estimated it to last 5-10 years. The deleverageing process has long term implications for Chinese stock markets.

One implication is that low-income groups in proportion to the national income distribution will gradually rise. The  low-end Chinese consumer goods and services will be the biggest winner in the next few years the stock market .