stlplaceLast Updated on May 30, 2007 by stlplace
HMIN looked cheap these days, should we jump in and buy it? I have both MR and HMIN, and as a matter of fact, I bought some more HMIN after its disappointing earning report. My mistake. You may think because HMIN has been to $49, and now it’s trading $29.50, isn’t a big discount? Yes or No. I hope HMIN won’t go much lower because it is my largest holding now (I’m looking for opportunities to exit).
Last Updated on May 30, 2007 by stlplace
The policy makers in China found the silver bullet finanlly, the Shanghai composite index dropped 280 points or 6.5% today May 30, as seen from this news from Bloomberg. This is the biggest drop in a day since Feb 27 (9% drop). The policy makers have warned the investors (or more accurately speculators) for a while, the head of central bank said some words during an international meeting (remember the vice chairman of people’s congress, Mr. Chen’s similar words late last year?); two interest rate hikes; three bank reserve rate hikes. But the new investors seemed ignoring all those warnings, as we have seen from the record account openings since March. We have 100 million accounts in China now. Let me quote some words regarding the “bubble” (I was told this was said by Buffet, but have not verified the source):