The article makes some points, but there's more worth watching here.
Traditionally, the squaring-up of business accounts in Hong Kong coincides w/ the Chinese New Year, which is only a few weeks away. We'll have to see what surfaces at that time, e.g. whether some sour news from Hong Kong might coincide with news surfacing in South America of some substantial debt problems caused by the real's devaluation. I don't think all the resultant debt determinations have been worked-out yet. But it shouldn't be long.
The article also states "...further proof that crawling pegs are destined to self-destruct." I say it all depends on who is conducting the administration, and what the reporter's definition is for a "crawling peg." Peru's Mr. Fujimori might disagree, as his administration has had good success with just such a tool. Though he would quite probably add that much depends on the circumstances.
There is one other item that ought to have been mentioned. In addition to the "deflation wave" hitting the China econmy, the Singapore economy has for the first time since 1985 registered "negative inflation." So, deflation is there also. Singapore hopes to control it with monetary action, which I believe they will. It worked the last time around.
The report also states that there is no inclination to chase share prices. As one who invests in all but one of the markets mentioned, I agree. I'm certinly not.
Of course, then, disciplined investors aren't suppose to chase share prices. Are they? <g>
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