Oil came back $2.16 to settle at $131.04 at the New York Mercantile Exchange sending investors to cash in previous gains. Bank of America reported better-than-expected losses following similar announcements from Citigroup, JP Morgan & Chase and Wells Fargo. Some take this as if the worst is over however earnings prospects are soft for many industry leaders such as Merck and Schering-Plough Corp.
Despite weakness in the U.S. markets shares of Chinese companies listed in the U.S. ended the day on a high note. The overall China ADR Index (CAI) gained 14.38 points today with NASDAQ listed Chinese ADRs outperforming their NYSE counterparts.
|
Index |
Date |
Value |
Today |
YTD |
|
CAI |
7/21/2008 |
781.92 |
14.38 |
-21.81% |
|
CYI |
7/21/2008 |
765.06 |
14.03 |
-23.49% |
|
CQI |
7/21/2008 |
1220.74 |
23.47 |
22.07% |
China's premier search engine company, Baidu.com (BIDU) gained $6.00 to close at $297.54 - just under $300 level. This six dollar gain is not only remarkable on its own turf but is a break away from the direction of Google Inc.'s (GOOG) loss of $12.52. This is very remarkable given that Google has long been casting a shadow over Baidu as we have argued in the past.
Chinese oil companies enjoyed a ride today. Shares of Petrochina (PTR), China's largest oil producer, gained $2.72 or 2.08% to end the day at $133.19. This gain was followed closely by Sinopec Corp (SNP), Asia's largest refiner and CNOOC Ltd (CEO), China's offshore specialist. Another large cap stock, HSCB Plc, got a lift from U.S. banks' better-than-expected announcements.
As the following table sorting out winners and losers of the day displays, NASDAQ listed Chinese ADRs shined even more. NetEase.com (NTES) gained a hefty 7.24% or $1.51 after a Credit Suisse analyst upgraded the stock from Neutral to Outperform raising price target to $27.70. Sohu.com (SOHU), one of China's leading web portals and Ctrip.com (CTRP), China's leading online travel agency gained 1.98% and 2.51%, respectively.
|
TOP MOVERS - China ADR |
7/21/2008 16:00 |
|
Name |
Symbol |
Price |
Change |
Change% |
|
|
|
|
|
|
|
BAIDU.COM |
BIDU |
$297.54 |
$6.00 |
2.06% |
|
PETROCHINA CO ADS |
PTR |
$133.19 |
$2.72 |
2.08% |
|
CHINA PETRO & CHE |
SNP |
$99.86 |
$1.87 |
1.91% |
|
HSBC HLDGS PLC AD |
HBC |
$80.82 |
$1.87 |
2.37% |
|
CNOOC LTD ADS |
CEO |
$155.90 |
$1.85 |
1.20% |
|
|
|
|
|
|
|
NETEASE.COM ADS |
NTES |
$22.38 |
$1.51 |
7.24% |
|
SOHU.COM INC |
SOHU |
$77.20 |
$1.50 |
1.98% |
|
SINOPEC SHANGHAI |
SHI |
$32.70 |
$1.17 |
3.71% |
|
CHINA EASTERN AIR |
CEA |
$31.63 |
$1.12 |
3.67% |
|
CTRIP.COM INTL LT |
CTRP |
$42.00 |
$1.03 |
2.51% |
|
|
|
|
|
|
|
NINETOWNS INTER A |
NINE |
$2.16 |
-$0.05 |
-2.26% |
|
SINOVAC BIOTECH L |
SVA |
$3.70 |
-$0.05 |
-1.33% |
|
CHINA NETCOM GRP |
CN |
$62.45 |
-$0.10 |
-0.16% |
|
E-HOUSE HOLDINGS |
EJ |
$10.25 |
-$0.12 |
-1.16% |
|
CDC CORPORATION C |
CHINA |
$2.63 |
-$0.12 |
-4.36% |
|
|
|
|
|
|
|
ALUMINUM CP CHIN |
ACH |
$27.65 |
-$0.14 |
-0.50% |
|
THE9 LIMITED |
NCTY |
$26.32 |
-$0.18 |
-0.68% |
|
HOME INNS & HOTEL |
HMIN |
$16.05 |
-$0.20 |
-1.23% |
|
GIANT INTERACTIV |
GA |
$10.64 |
-$0.27 |
-2.47% |
|
HUTCHISON TEL ADS |
HTX |
$19.58 |
-$0.28 |
-1.41% |
On the loser side, CDC Corp (CHINA) recorded the biggest loss in percentage points shedding 4.36%. The stock is hurt by news that the company will abandon plans to IPO her subsidiary, CDC Software on the U.S. markets. Giant Interactive (GA), a Chinese game developer with a limited game pipeline, is hurt by strong performance of her competitors, The9 Ltd (NCTY) and NetEase (NTES). Aluminum Corp. of China (ACH), China's largest aluminum producer, shed $.14 or 0.5% on concerns of sustainable production during the peak summer season when China is embracing brown outs.
