Anyone notice the price action today (and last several) on FXI, HSI, HHI.HK ? Looks like big money is coming in to anticipate Shanghai 'arb' buying en masse. Who would continue to chase this at already -seemingly- nosebleed levels of FXI 154, HHI.HK likely to open in the 14ks right now, etc ? I remember a week and a half ago HHI was getting sold to 10k.... Wow. Talk about decoupling from the world.
as my acct. can testify, be careful shorting. it's a f-ing daisy chain right now. China goes up, and has gone up, HHI and HSI go up to narrow the arb, and, NOW, the US is in the game. take a look @ ACH today and the past several days. so then the HHI and HSI key off of the US action for Chinese stocks. not quite sure what is going to break the cycle- you'd think 3000 points straight up- but no...
speak of the devil. This just broke and now I see Taiwan spiking... (HK) CHINA'S PROPOSAL TO ALLOW ITS CITIZENS TO INVEST IN HONG KONG EQUITIES HAS STALLED - HK STANDARD - The report cites unidentified people. - According to a Bank of China spokesman, the pilot program has not been approved by authorities. <EWH USD/HKD FXI PGJ>
or for those Fundamental/long term investors short now and short more before the Olympics (make sure you keep some cash to layer into the short) d