China’s Stocks Advance, Capping Biggest Weekly Gain in Month – Bloomberg 11-02-12

Salient to Investors: Li Jun at Central China Securities said investors think the economy may have bottomed, especially since the PMI showed positive signs, but we need more liquidity for any gains to last. Lu Ting at Bank of America sees increasing evidence for green shoots in China – upped Q4 GDP growth estimate to

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Emerging Markets Undervalued, Goldman Sachs Says – Bloomberg 10-31-12

Salient to Investors: Anna Stupnytska at Goldman Sachs Asset Mgmt said: The growth market and the emerging market should be the main focus. Emerging markets are undervalued because investors are focused too much on the developed world. Investors are undervaluing the BRIC story which is still valid long-term. grow center The rise of the

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China Economy to Improve After Leadership Change, BlackRock Says – Bloomberg 10-10-12

Salient to Investors: Mark McCombe at BlackRock said China’s economic growth is poised to recover after once-in-a-decade leadership transition, and boost stock markets . The focus on consumption will benefit health-care and education stocks. BlackRock and Citigroup say policies to boost China’s growth will be clearer after the leadership change. Other analysts. Chen Ruiming at Haitong Securities

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Where Has The QE Rally Gone? – Seeking Alpha 09-26-12

Salient to Investors: Expect the market to consolidate before the next QE-driven euphoric market advance. The market does not necessarily react immediately to liquidity-driven catalysts. Stocks traded higher for nine days after Lehman collapsed before the sell off began. Stocks initially trade lower once they receive QE from the Fed. A slowing global economy,

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China’s Stocks Fall to 2009 Low on Concern About Economy, Profit – Bloomberg 09-26-12

Salient to Investors: Shanghai Composite Index is down 9.9 percent this quarter, down 8.9 percent in 2012, is the worst performer among global markets after Cyprus, and sells for 9.3 times estimated earnings versus an average of 18 since 2006. Wang Zheng at Jingxi Investment Mgmt said the market has no confidence in China’s old growth model of investment

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China Stock-Index Futures Drop on Concern Slowdown Will Persist – Bloomberg 09-23-12

Salient to Investors: Song Guoqing at Peking University said the economic slowdown may run into 2013 amid a lack of funding for approved infrastructure projects. Song expects growth of 7.3 to 7.4 percent in Q4 and 7 to 7.5 percent in half1 2013. Wu Kan at Dazhong Insurance sees room for the market to drop. The Shanghai index is

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Contrarian Manager Wins by Buying Newspapers, Avoiding China – Bloomberg 09-13-12

Salient to Investors: Contrarian fund manager Bill Smead is: Bullish on the U.S. but bearish on companies exposed to China. Looks for strong balance sheets, industries with high barriers to entry, long histories of profits and dividends, p/e ratios below their 10-year average, strong insider ownership, and shareholder friendliness with regard to

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Gundlach Sees No Lost Decade as Biggest Bears Flirt With Stocks – Bloomberg 09-13-12

Salient to Investors: Jeffrey Gundlach at DoubleLine Capital said: Equities won’t repeat the poor performance of 2000 to 2010, when the S&P 500 fell 14 percent. Equities are superior to fixed-income as an inflation hedge. Stocks’ unpopularity is positive. The S&P 500 isn’t cheap – the Chinese stock market is better value. Mutual-fund investors withdrew $313 billion from U.S.

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