Franck

Shanghai Should Continue to Sell Off

As some readers noted, Chinese stock market does not reflect Chinese economy. In 2001, the Shanghai index topped at about 2240 points and went down to about 1000 point in 2005 while Chinese economy had a high GDP growth.

At that time, many journalist were saying that China is the only country where the economy goes and the stock market goes down.


I think you need more than stock market to evaluate the health of China economy.

I would say that the relative slowdown of the China economy is partly due to the catastrophe of the banking sector in the U.S.

ProShares UltraShort and UltraLong ETFs

Thanks for the article.

I think the Proshares ETF are not reliable.

Let's take the example of FXP. They are not double short but only 1.7 short.

The prices are very inconsistent.

For example:

I bought FXP on March 6th at 99. That day, FXI closed 135.66.

On March 24th, FXP was at 106.92 and FXI 128.35 (same as today).

Today FXP closed at 87.98 and FXI closed at 128.66

10 Reasons Why Gold Has Further to Run

China is now the first gold producer in the world after South Africa.

As for oil, the prices listed by the medias are usually the prices of futures contract.
The real prices paid by the oil companies are in fact much lower.

China Nepstar: A Drugstore Leader and Innovator

I live in China and there is a least 3 Nepstar shops within 10 minutes walking distance from my house.

Here are my negative comments:

1- Their prices are higher than the competition.
2- The sales staff are young persons who are not pharmacists. They have very little clue of what medicine is for what. They usually recommend expensive products such as vitamins that have no relation with your sickness.
3- Their range of medecine seems quite narrow. They focus on vitamins, miracle powders,cream or pills such as strengh enhancer for men, skin whiteners, make your kid intelligent or grow taller pills...under their brand or other brands.
3- Business doesn't seem to thrive in their shops.

As a customer I am not impressed at all by their shops and offering.

Their only advantage is that they have shops everywhere.

As a long term investor, i would avoid Nepstar as I can't see the business growing except by opening new stores all the time.

There are so many better Chinese companies to invest in that I will pass on this one.