More good news for Chinese consumers

More evidence in favor of the consumer economy in China. I tend to be overall neutral to bearish for the near term, but those bullish on China would do well to focus on the consumer sector. Quite a few consumer companies have been going public in Hong Kong over the past couple of years.
China Provinces Raise Minimum Wages to Curb Disputes

Beijing is increasing the lowest monthly salary employers may pay in the Chinese capital to 960 yuan ($142) from 800 yuan, according to the city government’s website. Central China’s Henan, the nation’s most populous province with almost 100 million residents, is raising its minimum wage by 33 percent to 600 yuan, the local government said on its website.

From a pure economic standpoint, minimum wages are a bad idea, but China does not want to have strikes and labor disputes break out all over the country. This is a political policy designed to make the transition to higher wages more harmonious.