| Broad-Based China Rally Hushes Bears | 11/2/09 |
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China’s October manufacturing output hushed the bears, pointing to further economic strength. According to Bloomberg, China’s manufacturing growth in October was the highest in 18 months. Meanwhile, a handful of Shanghai-listed companies reported strong numbers, leading the Shanghai Composite Index to finish up by 2.7%. Chinese stocks and ADRs are largely moving higher on U.S. exchanges, though one major solar name is weighing on the sector’s average. As a whole, the China Stocks and ADRs Index is ahead by 1% today. It is now -1% behind the S&P 500 over the last month. Chinese components of the Energy Storage and Battery Stocks Index are mixed today. BYD (OTC: BYDDF), Warren Buffett’s pick for the sector, is up by 12% today. China Ritar Power (CRTP) is following by 3% while China BAK Battery (CBAK) sells off by -2.5%. In the solar sector, Trina Solar (TSL) is up by 5% today, while Canadian Solar (CSIQ) adds 1%. LDK Solar (LDK), however, is tumbling by -17% today after supply partner Q-Cells said the company didn’t fulfill “significant contractual obligations,” according to Reuters. On the tech front, search giant Baidu.com (BIDU) is down fractionally, while mobile telecom firms China Mobile Hong Kong (CHL), China Telecom (CHA), and China Unicom (CHU) move higher. The latter of the three phone companies has exclusive carrier rights for Apple’s (AAPL) iPhone, which received a tepid response upon its Chinese launch at the end of October, according to The Wall Street Journal. As of this writing, all of tickerspy’s six sector-based China Indexes are positive for the session. |
