Prudence won out. Last week, we said we were pondering one of two routes for our holding in Jiangsu Expressway (600377): Selling and getting out with a modest profit, or holding on for a bumpy ride, potentially profiting off of one of the Shanghai market’s periodic bouts of crazy rumor-fueled speculation. Looking into the reason […]
Category: Markets
Well, here’s a problem we haven’t had before. All of our current holdings are trading at a premium from where we bought them: China Vanke (000002) is up 2.59%, China COSCO Holdings (601919) is up 10.79% and – we can’t quite believe this – Jiangsu Expressway (600377) is up 10.85%. Consider the returns on our previous investments. […]
The Shanghai Composite Index (SCI) was steady this week, unresponsive to predictions it is currently overpriced and is likely to sit closer to 2,500 points in the short-term, implying an average profit-to-earnings ratio of 20. This is a far cry lower than the close of 3,187.65, up only 0.8% for the week, and we at […]
China’s central bank announced this week that moderately relaxed monetary policy will continue in the near future, despite a warning from the Chairman of China Merchants Bank that continued loosened policy may give rise to asset bubbles. Fears of policy changes have been driving market sentiment in the last few months and this week has […]
The Shanghai Composite Index (SCI) shuffled backwards this week, finishing 3.8% behind last week’s close to finish at 2,995.85. The SCI has danced out of 3,000+ territory with analysts no longer singing of a ‘V-shaped’ recovery, but a period of uncertainty where 2,500 may be the norm. China COSCO Holdings (601919.SH) has overstepped the benchmark […]