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PowerShares Golden Dragon China Portfolio ETF (PGJ)

  • May 2, 2012, 3:15 AM
    China's factory activity cooled for the sixth consecutive month in April, but at a slower pace, suggesting conditions are stabilizing. HSBC's PMI rose to 49.3, up slightly from the 49.1 flash reading and above March's 48.3. (previously)
  • May 1, 2012, 10:10 PM
    "Why did 10-year Treasurys yield 14% under the vice-like grip of iron-man Volcker, but yield just 1.8% under ... Weimar-like Bernanke," asks Hugh Hendry, defining his weapons in the global macro business as irony and paradox. Hendry's latest investor letter describes China's epic, credit-fueled binge, and why the crisis that started in the U.S. and moved to Europe, is about to end in Asia - and how he's playing it by buying CDS on Japanese corporations.
  • Apr. 30, 2012, 11:19 PM
    China's official April PMI rises to 53.3 vs. expectations of 53.5 and 53.1 previously. The print is well above last week's HSBC "flash" PMI of 49.1 (HSBC's final April read will be released tomorrow).
  • Apr. 27, 2012, 5:03 AM
    China's industrial profits rose 4.5% in March, recovering from a January-February decline, and were down 1.3% Y/Y for the quarter.
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  • Apr. 26, 2012, 7:35 AM
    Included in Volvo's (VOLVY.PK) mostly upbeat earnings report, is an expected 15-25% drop in the market for construction equipment in China. The company had previously guided for a flat 2012 in China. Volvo becomes the 3rd heavy equipment maker in 2 days to warn on slowing in China.
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  • Apr. 25, 2012, 9:36 AM
    One more from Caterpillar earnings: A lot of the China slowdown talk has been waved off as little more than skewed data owing to the timing of the Chinese holidays. It may be of interest to note CAT saying, "demand in China remained weak after the Chinese New Year, and we now expect the overall machine industry to decline slightly this year." (PR) (h/t Mike Bergen)
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  • Apr. 25, 2012, 8:57 AM
    The ABB earnings presentation sounds a lot like Caterpillar earnings, where weakness in China is being offset by strength in North America. ABB's order book in China is off 35% Y/Y, up 16% in the U.S. SEB notes the company saying it's uncertain when Chinese demand will recover vs. previously saying it appeared Chinese growth was returning. (earnings)
  • Apr. 25, 2012, 7:45 AM
    More on Caterpillar (CAT): The company raises its full year profit outlook to $9.50/share while maintaining revenue at $68-$72B. The bears, however, are likely to pounce on "slowing in China and Brazil," mentioned early and often by CEO Doug Oberhelman. Shares -1.8% premarket. (PR)
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  • Apr. 23, 2012, 3:23 PM
    Where's the rally, asks Scotty Barber, who notes the BRICs - during periods when their central banks are cutting rates - outperform developed markets. Brazil's 75 point cut (with more to come) was the loudest move, but policy is easing in the others as well. As of yet there's been no rally in either absolute or relative terms.
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  • Apr. 23, 2012, 11:29 AM
    Chinese banks are starved of capital following a massive lending spree and still needing to pay their largest shareholder (the gov't) big dividends. A decade after going public, the banks remain arms of the government, making loans when and where it suits officials, and incredibly reporting a troubled loan rate of just 1.15%. "There's an awful lot of money just going round and round ... giving the appearance of strength when it's really not there," says Fraser Howie.
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  • Apr. 23, 2012, 5:29 AM
    HSBC's flash estimate of China's PMI: 49.1, up slightly from last month's final reading of 48.3 but still below the 50 level signifying contracting economic activity. It's the strongest flash reading in the last four months.
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  • Apr. 22, 2012, 5:23 AM
    China is likely to continue taking steps to allow the yuan to trade more freely following the recent widening of its exchange-rate band, Yi Gang, the Deputy Governor of the PBOC, said yesterday. "It's time to let the market more or less to decide the rate (while) reducing the intervention," Yi said without elaborating on the timing of such moves.
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  • Apr. 19, 2012, 11:36 AM
    China moves to allow domestic funds to introduce yuan-denominated equity ETFs in Hong Kong, affording offshore investors the opportunity to use yuan to invest in mainland markets. It's not the first move this year suggesting Beijing's interest in funneling investor dollars towards the country's stock markets.
  • Apr. 19, 2012, 9:45 AM
    The widening of the yuan's trading band - far from being a signal of Beijing's confidence in the economy - makes devaluation even more likely, says SocGen's Al Edwards. China's vaunted current account surplus is essentially no more and even the IMF is no longer calling the currency overvalued.
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  • Apr. 18, 2012, 7:32 AM
    Home prices fell in 62 out of 70 tracked Chinese cities in March, according to a private survey (official survey here). The figure was slightly worse than February, but an improvement from November's level. The China Real Estate ETF: TAO +21.9% YTD.
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  • Apr. 18, 2012, 7:27 AM
    Home prices fell in 46 out of 70 tracked Chinese cities in March, up from declines in 45 in February, reports the NBS. On a Y/Y basis, home prices declined in 38 cities vs. just 27 in February. Home sales were 17% lower during Q1, says Credit Agicole's Dariusz Kowalczyk, citing separate data. Shangahi +2% last night, led by property developers. Go figure.
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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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