Rakesh Saxena

Opportunity to Sell Into China's Illusory Stimulus Package

On Nov 10 10:18 PM Tony Petroski wrote:

> I don;t understand how an economy growing at 8% a year, down from
> 12%, needs a "stimulus," nor how such a country can have stock values
> down 75% and more. Can we trust the word of the communists or not?

Dear Tony: Your concerns are genuine. Why does China need a stimulus package in the first place? Economists should be asking that question. And why did stocks tank when the GDP is still at record levels, relatively? These are fundamental questions which need to be answered before making any longer term case on China, bullish or bearish. Many thanks - Rakesh

Opportunity to Sell Into China's Illusory Stimulus Package

On Nov 10 09:49 AM 20smoney wrote:

> China is a great buy right now

Dear 20smoney: I am not making an overall bullish or bearish case on China. The short window I am focusing on has to do entirely with the real impact of the stimulus package on the stock markets, i.e. a single-purpose trading opportunity. Many thanks - Rakesh