Wednesday, April 23, 2008

Apr-23 Chine stocks fly

Glad to see all H shares fly! I mentioned PTR and LFC around morning the day before yesterday, and you have seen the short term big swing up, as several rounds of good news.

CAF also shines. The reason I initiated my coverage of this company as I supposed CAF will not drop further because it is not an ETF, it is a US company that invests A share market. There is no surprise that Morgan Stanley is one of the first big sharks getting out of the market at peak around 6200. I also believe they have been accumulating shares since Shanghai Index dropped below 4000. That's why it did not drop much with A share market but follows US market instead, but now I think they can be influenced by this A share rebound, given many actions from gvmt to save the market.

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