6China stocks posted the biggest gain since July 12th with SHA rose about 1.14%.Investors, for now ,are generally optimistic on that Fed would stay put into year 2017 and China gov once more vowed that it can keep the economy growing as planned. Money flowed into Household Electronics, Finance and Wine Brewing sectors the most.Western Mining Co., a metal mining company, rallied to limit-up, and for three times in a row,as it had released plan to overtake several miners, including a lithium producer in Qinghai Province. CNYUSD resumed climbing as investors expressed more confidence in China economy after President Xi's speech to announce the date for Communist Party Plenary Session in October. In commodity market, iron ore and coal led the rally as more steel makers had been required to reduce their production ,as well as some producers had suited ore miners in Brazil and Australia for low price dumping, which support the prices of materials from rebar to iron ore. Even with Fed stays put for the FOMC meeting this week, in our opinion, the rally for SHA could not sustain, and investors can reduce their risk exposure to cyclical assets , take advantage of the recent rebound.
Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.