Rocket Lab, a company recently valued at $1 billion by private investors, has been waiting since May 22 to test its first product, a rocket called Electron designed to launch small satellites into orbit. Its outer shell is made almost entirely of carbon fiber, and it boasts an electric turbopump and a 3-D printed engine. A successful launch will provide key data to refine the rocket’s construction, and validate the hopes of both the company’s backers and a slew of other small satellite firms desperate to see their own technology put into space.
This is the issue of out times, to grapple with, and seek to understand…
China is the greatest growth story in history. A true triumph of market-forces. But since the boom-bust cycles of capitalism is a feature and not a bug. China will have the greatest bust in history, to match its boom. As long the government doesn’t regress to the delusions of communism, capital will move from weak hands to strong hands at vastly discounted rates. Which is the only element of trickle-down economics that truly works. Ideally, they would become more democratic (think Singapore not India).
However, there are forces pushing the boom further. First and most importantly, the inclusion of China into the existing indices. I do not buy the argument that China is undervalued. Look at any nation with sketchy rule of law and you’ll see the markdown in valuation. Again, use a simple momentum filter and follow along.
Opinion | China’s Bill Will Have to Be Paid – Bloomberg https://apple.news/AEmbNkGakTG6Z8CY80rK_lg
Whoever figures this out is going to make a ridiculous amount of money. However we are a long way from knowing who the winners will be. Be prepared to momentum-ride the two fastest horses, changing mounts like a monkey-jock.