We started this week making good on last Friday’s vow to sell our 100 shares of Hubei Guangji Pharmaceutical (000952.SZ). We’d watched the riboflavin producer plummet with that familiar whistling free-fall sound that we first heard after buying into a certain cement company based in central China. We bought Hubei Guangji on July 25 at RMB17.00 per share and sold on Monday at RMB9.58 share. That’s a 44% dive in six weeks for those of you keeping score at home. We watched (with no small bit of relish) Guangji continue on its downward trajectory after we jumped ship. It finished the week at RMB8.58.
So, for now, our fund is back to our dynamic duo: Anhui Conch Cement Company (600585.SH) and Industrial and Commercial Bank of China (601398.SH), of which the latter has done less poorly of late, all things considered. After hearing of ICBC’s stellar first half profits and its US expansion plans, we’re fairly convinced that things seem to be rolling along for the lender. Even the ICBC branch near this roader’s apartment has been refurbished over the past few weeks.