Email of the day (3)
"May I request for chart Bloomberg code hscci?
"In the Chinese market analysis yesterday I note you used hscei but not hscci.
"It is interesting to see this morning with temasek off loading two Chinese banks at a four percent discount, the banks came off as expected, but there are the usual consumption plays, like china mobile, tencent, ping an, aia, all up on the day as the contributors for the hscci index. Any comments?"
David Fuller's view You may;
thank you for empowering us; Eoin has added HSCCI (monthly
& weekly) to the Library.
This
is a welcome addition to our analytical process, not least because the consumption
shares are leading to the upside. Consequently HSCCI supports our bullish medium
to longer-term hypothesis for China. While it is difficult to anticipate when
an upside breakout will occur, this pattern appears likely to test the upper
boundary near 4500 over the next few months. A clear upside breakout following
a lengthy trading range would suggest sufficient support to at least retest
the 2007 peak above 7000. This HSCCI
Descriptive page from Bloomberg may be of interest and here are the top
companies by capitalisation weighting.