Shanghai SE up another 37 pts last night. That is...
the first four consecutive up days in over two months.
Too bad we don't trade over there. "..selective buying in some sectors seen supported by government incentives"
China stocks ends up 1.4 pct at two-week high
Jan 31 (Reuters) - China's main stock index ended up 1.4 percent at a two-week closing high on Monday, extending three days of rises, underpinned by selective buying in some sectors seen supported by government incentives.
The Shanghai Composite Index .SSEC finished at 2,790.7 extending a 1.4 percent rise last week. But the index has dropped 0.6 percent this month after falling 0.5 percent in December.
The index fell this month due to a shortfall of cash in the domestic money market, a raft of anti-inflation measures including a hike in bank reserve ratio, price controls and the introduction of the country's first-ever property taxes.
"It's (today's rise) a continual rebound," said Wang Aochao, an senior analyst at UOB Kay Hian in Shanghai.
"The positive news also give investors a good chance to speculate some selective sectors, such as water shares." ($1 = 6.58 yuan) (Reporting by Chen Yixin and Kazunori Takada)
Is this the exchange that only Chinese nationals can trade on? If so, I really don't see the value w.r.t. KNDI. Maybe one could stretch and refer to the "wealth effect" on consumer buying patterns and hence the likelihood of buying cars, but IMO that's about it.
What I believe we need to track (or find if it exists) is an index of Chinese Reverse Merger Stocks to gauge that sentiment which I believe is one of the major downward forces on KNDI right now, especially if we're not going to get any PRs from the company for a while.
I would also love to hear any reviews of the (in Chinese) message board I read about dedicated to the recent "test drive days." Is the board company moderated, or are all postings accepted?