ManInTheMirror

CNOOC: How Accurate Is Investment Information in Emerging Markets?

Here's a good article on why information is valuable. It explains how Crazy Eddie's ran an enormous fraud for 18 years:

www.whitecollarfraud.c...

Expect Chinese Pullback to Affect Emerging Markets

Sorry about that broken link, here is the one to FXP:

www.google.com/finance...

Expect Chinese Pullback to Affect Emerging Markets

Great article William!!

Do you know if Hedge Funds have to report their earnings at the end of October each year? I was wondering because I was looking at the rapid market decline from last year (2008) and the question of "could last year's sell off, a market decline of about 25% in two months, have been influenced by Hedge Funds"? If so, do you think we could see another rapid decline in September and October of 2009, just like we saw in September and October of 2008? In other words, do you think Hedge Funds have the incentive to "take their profits" and sell out of Emerging Markets, so they can show their investors how much money they recovered after "The Great Recession"?

Moving on, what are your thoughts on FXP? (See link below) From what I understand, it gets "(200%) the inverse (opposite) of the daily performance of the FTSE/Xinhua China 25 Index" (Google Finance).

<www.google.com/finance...;

Another question, what do you think of this: "to paraphrase Michael Pettis' article on Seeking Alpha, because of China's high debt, which Michael Pettis estimates is 35% to 50% of GDP in China their citizens must keep high savings, so the banks and stay liquid while debt fails (i.e. non-performing loans, toxic assets). Meaning, China can't create it's own internal demand to fill the void of decreased US demand due to its high debt. Thus, increased US savings should be harmful to China because it would mean less consumption of products manufactured in China."?

(seekingalpha.com/artic...)