Why China's Industrial Profits Are Soaring

The transcript discusses the positive economic indicators, particularly the strong link between PPI reflation and industrial profits. It highlights the impressive year-to-date growth but cautions about potential overstatements, especially concerning smaller companies. The discussion also covers policy implications, focusing on structural reforms and the challenge of reducing industrial overcapacity amidst profitability.

Discuss the implications of profitability returning to the industrial space.

What does the text suggest about the future of industrial overcapacity?