The Rising Influence of Rising Affluence

[DewDiligence]

China’s consumer spending remains much stronger than infrastructure spending, as evidenced by NIKE’s robust FY1Q16* results:

http://www.wsj.com/articles/nike-sales-surge-boosted-by-china-higher-prices-1443126361

Nike Inc. posted a 23% jump in quarterly profits and particularly strong sales gains in China, as the world’s largest sportswear maker bucked concerns about that country’s economic health.

The athletic gear company reported a three-month profit of $1.18 billion as sales rose 5% from a year earlier to $8.41 billion. Excluding the effects of currency fluctuations, Nike said its global sales rose 14% in the quarter ended Aug. 31. Leading all regions in revenue growth was China, where sales jumped 30% to $886 million.

*The quarter ending 8/31/15.