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PowerShares Golden Dragon China Portfolio ETF (PGJ)

  • Jan. 20, 2012, 6:43 AM
    Part of promised reforms that should allow more of the country's savings to get funneled into its struggling stock market, Beijing approves a pilot program allowing local governments to entrust funds with the nation's social security overseer. Local pension funds can only invest in bank deposits and government paper, but the social security fund is allowed a much wider range.
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  • Jan. 20, 2012, 4:16 AM
    The flash estimate for January's HSBC China PMI comes in at 48.8, a slight improvement over December's 48.7 final reading. Manufacturing is still sluggish, but there are some early signs that a downward drift in factory activity is slowing.
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  • Jan. 18, 2012, 9:51 AM
    "The data just turned from bad to worse," writes SocGen's Wei Yao of today's December home price report from China. She says real estate's woes have yet to spread to the general economy, but that is about to change. "Contraction in sales and sharp deceleration in investments will send shockwaves along the industry chain." (see also)
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  • Jan. 17, 2012, 1:11 PM
    While Chinese Q4 GDP looks decent, a peek into the monthly data shows a marked deceleration as 2011 ended, says Wei Yao from SocGen. Investment growth slowed from 25% in October to 18.5% in December. Property investment fell to 12.3% in December from 20.1% in November, with housing starts off almost 25% and inventory up 26%. (see also)
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  • Jan. 17, 2012, 11:09 AM
    More on China GDP: ANZ Bank's Nicholas Zhu visits a Chinese steel plant and reports back of a near-empty parking lot, work-shifts shortened to 5-day weeks, and just one blast furnace in operation. "Wire rods for use in the construction industry were piled up everywhere: inside a full warehouse at the riverbank, out in the open near wharfs and any empty space next to the factory floor." (see also)
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  • Jan. 17, 2012, 10:01 AM
    Of China's Q4 GDP growth, Patrick Chovanec notes 2011 still showed real real estate investment growth of 20%. Were this to level off in 2012, GDP would slow to 6.6% from 9.2% - a hard landing - and this assumes no impact on property-dependent industries like steel and cement, and no impact on the financial system.
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  • Jan. 17, 2012, 1:52 AM
    China's urban population surpassed its rural population last year for the first time in the country's 5,000-year history, intensifying the challenge of providing jobs and social services. (see also: China GDP)
  • Jan. 13, 2012, 12:54 PM
    Forget nibbling around the edges of a shrinking trade surplus or currency adjustments, last quarter's fall in China's fx reserves means a flood of capital is exiting the country, writes Tom Orlik. Property and stock prices are falling and the yuan is no longer a one-way bet. "All of the normal arguments for investors to keep their money in China no longer apply."
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  • Jan. 13, 2012, 2:17 AM
    China's forex reserves dropped to $3.18T at the end of Q4 from $3.2T at the end of Q3, the first quarterly drop since 1998 and the Asian financial crisis. A lack of transparency in China's official data makes the decline hard to explain, but contributing factors likely included capital outflows, a shrinking trade surplus and euro weakness.
  • Jan. 11, 2012, 1:14 PM
    Barclays updates its skyscraper index, noting more than half of the 124 giants to be completed in the next 6 years are in China. Not just in the major cities, Barclays notes the "frenzied activity" is spreading to smaller towns. "The writing, so to speak, would seem to be already on the glass curtain walling."
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  • Jan. 11, 2012, 9:29 AM
    Last night's modest fall in Shanghai (-0.4%) broke a 3-day rally that saw the index gain 6.4% - the largest such move since 2010. Credit Suisse was out with a contrarian note arguing the PBOC may continue to hike interest rates this year as inflation remains high. December price data is due out tonight.
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  • Jan. 10, 2012, 7:35 AM
    Hearing of Beijing's move to "encourage" institutions into stocks (and out of housing?), one is reminded of Paul Krugman (along with Pimco's Paul McCulley), circa 2002, famously urging Alan Greenspan to create a housing bubble to replace the busted Nasdaq Bubble.
  • Jan. 10, 2012, 7:29 AM
    Among the reforms pledged by China's securities regulator is an "active" push to encourage pension, housing funds, and insurers to begin investing in the stock market. The Shanghai Composite likes the news, rising 2.7%, it's 3rd consecutive move higher.
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  • Jan. 10, 2012, 7:23 AM
    For 2011, China's trade surplus clocks in at $155B, down 14.5% from 2010, giving more ammo to Beijing which is making noises about slowing down or even halting the yuan's appreciation against the dollar. The yuan rose 4.7% against the greenback in 2011, it's strongest move in memory. Don't expect a repeat this year.
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  • Jan. 10, 2012, 2:20 AM
    China's import growth fell to a two-year low in December, rising 11.8% Y/Y. Exports rose 13.4% in December, causing the trade surplus to increase to $16.5B in the month.
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  • Jan. 10, 2012, 2:13 AM
    China leads Asian markets up, getting a boost after a top official at China's stock market regulator said the agency will press forward on deeper institutional reforms. Japan +0.4%. Hong Kong +0.8%. China +2.7%. India +1.6%.
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PGJ Description
The PowerShares Golden Dragon China Portfolio (Fund) is based on the Halter USX China Index (Index). The Fund will normally invest at least 90% of its total assets in equity securities that comprise the Index. The Index is comprised of the U.S.-listed securities of companies that derive a majority of their revenue from the People's Republic of China. The Index is designed to provide insight and access to the unique economic opportunities taking place in China while still providing investors with the transparency offered with U.S.-listed securities. The Fund is rebalanced and reconstituted quarterly.
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Country: China
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