Market Currents

• Friday, August 14, 2009

• 09:10 AM Hong Kong climbs out of recession, posting 3.3% GDP growth for Q2 from last quarter. It joins China, South Korea and Singapore in reporting Q2 growth, adding to evidence that the recovery is solidifying in much of Asia. The government lifted its full-year outlook to -4.5% to -3.5% from a previous -6.5% to -5.5%. (ETF: EWH) Comment!

• Wednesday, February 25, 2009

• 08:48 AM With Hong Kong's GDP expected to shrink 2-3% in 2009, the city is refunding taxes, suspending property rates and spending more on infrastructure to mitigate a contraction. (ETF: EWH) Comment!

• Friday, November 14, 2008

• 06:15 AM Hong Kong's GDP shrinks by 0.5% in Q3 after a 1.4% drop in Q2. Yep, recession. (ETF: EWH) Comment!

• Thursday, November 6, 2008

• 03:47 AM Morgan Stanley says Asia can weather the worst of the financial storm thanks to strong fundamentals, lower commodity prices and easier monetary and fiscal policy. Best positioned are China (ETF: FXI), Hong Kong (ETF: EWH) and Taiwan (ETF: EWT). Comment!

• Tuesday, November 4, 2008

• 04:29 AM Hong Kong's Hang Seng index is down about 50% Y/Y, real estate prices have fallen, and economic data has been gloomy - but the city is well-positioned to ride out the storm and economists still expect around 8% growth from China. (ETF: EWH) 1 Comment

• Thursday, October 23, 2008

• 14:18 PM Hong Kong Monetary Authority intervenes for the second time this week, buying U.S. dollars to deflate rising local currency. "Many investors are trying to park their funds in Hong Kong, which is a more stable market amid the volatile global financial situation," a trader says. It also fully guarantees deposits. (ETF: EWH) Comment!

• Monday, September 8, 2008

• 15:39 PM Plenty of money has been lost betting against Hong Kong (ETF: EWH) over the past 13 years. Is it finally time to go short? Comment!

• Wednesday, September 3, 2008

• 04:59 AM Hong Kong home sales plunge 60% Y/Y and 40% from last month to $1.9B. "The impact of credit-market losses may be spreading to Hong Kong, with the threat of a global economic slowdown and a slump in the stock market leading potential homebuyers to expect to pay less for properties." (ETF: EWH) Comment!

• Thursday, August 28, 2008

• 06:35 AM Hong Kong's exports grew 11.1% in July vs. last year after slipping 0.6% in June. Economists expected a 5.5% gain. "The weakness in the U.S. economy is expected to continue to drag down Hong Kong's export performance," the government said. (ETF: EWH) Comment!