Top China ADR Portal

China ADR stock research


Warning: strtotime(): It is not safe to rely on the system's timezone settings. You are *required* to use the date.timezone setting or the date_default_timezone_set() function. In case you used any of those methods and you are still getting this warning, you most likely misspelled the timezone identifier. We selected the timezone 'UTC' for now, but please set date.timezone to select your timezone. in /home1/chinaves/public_html/libraries/joomla/utilities/date.php on line 56

Warning: date(): It is not safe to rely on the system's timezone settings. You are *required* to use the date.timezone setting or the date_default_timezone_set() function. In case you used any of those methods and you are still getting this warning, you most likely misspelled the timezone identifier. We selected the timezone 'UTC' for now, but please set date.timezone to select your timezone. in /home1/chinaves/public_html/libraries/joomla/utilities/date.php on line 198

Sell-off hits China stocks in Asia

E-mail Print PDF

decline August 5, 2011 (Chinavestor) The DJIA fell 512.8 points on Thursday, the most since 2008, as fears of a debt crisis in Europe spread and the labor department will announce all important jobs report on Friday. Latest estimates put the number of total jobs created in July just to 85,000. Fears of what's next sent China stocks tumbling in Asia. The Hang Seng Index (INDEXHANGSENG:.HSI) tumbled 938.6 points or 4.5%, in line with the DJIA (INDEXDJX:.DJI). Stocks fared better on the Mainland where the Shanghai Composite Index (SHA:000001) fell 57.6 points or 2.2%.

Zijin Mining (HKG:2899), the largest gold miner in China, fell 8.0% just below that of Sinopec Shanghai Petrochemical (HKG:0338)(NYSE:SHI), China's largest ethylene maker. ZTE Corp. (HKG:0763), the second largest Chinese mobile equipment maker, fell hard after export outlook darkened. CNOOC Ltd. (HKG:0883), China's offshore oil specialist, fell the most among NYSE cross listed H-shares, followed by Aluminum Corp. of China (HKG:2600). But the decline was not limited to just a few stocks; each and every component of the Hang Seng index (INDEXHANGSENG:.HSI)  fell.

Chinese energy stocks fell in both key Asian markets. China Coal (SHA:601898), a key component of the Shanghai Composite Index (SHA:000001) dove 4.3%, the most among the largest component of the index. Price of coal is tied to that of the oil in China, hurting coal and oil producers alike when oil tumbles. Price of oil fell all the way to $83, the largest daily dip in years.

Investor mood of China stock investors soured up so much in the past 24 hours that each and every component of all three major indices fell. Each and every DJIA component fell, followed by the components of the Hang Seng Index (INDEXHANGSENG:.HSI) and the Shanghai Composite Index (SHA:000001). Such universal sell-off hasn't been recorded by Chinavestor in the past three years. 

pre_201185

While decline was universal among large caps, some small cap stocks managed to eke out some gains in Asia as component of the Guggenheim China Small Cap ETF (NYSE:HAO) testify. But large caps experienced a broad sell-off in Hong Kong on Friday evidenced by the performance of the Xinhua 25 index. This bodes ill for the iShares FTSE/Xinhua China 25 Index (NYSE:FXI).

pre_201185_etf

Despite a heavy sell-off on Thursday, some Chinese ADRs managed to stay in the black. Noah Education (NYSE:NED) was lifted by earnings while Ata Inc. (NASDAQ:ATAI) rose on technicals.

It's going to be the all important jobs report that will decide the mood of investors on Friday. Fears of a double dip recession are real and markets need some good news to calm nerves down.



If you like us, spread the word to the fellow investors on your favorite Social Bookmarking websites
Reddit! Del.icio.us! Mixx! Free and Open Source Software News Google! Live! Facebook! StumbleUpon! TwitThis Joomla Free PHP
 

!!! CHINAVESTOR.COM is for SALE !!!

BUY this domain with all its credentials. Chinavestor.com has been added to Google News and Finance since 2008! Huge web traffic upside potential! Website is optimized for Chinese stocks but can easily be tweaked. Contact Seller Here

sale1
G_news
Check out The Benefits of Getting into Google News!

Free weekly newsletter

Get hot China stock news every Monday