Lots of recent news around CNY FX Rate breaking new highs! Latest CNY to HKD FX rate is at 1.26!
Given the strong correlation between HSI and CNY FX rate strengthening, this may be a good signal!
For stocks that have large, stable earning streams based in CNY, the stock price may become more interesting soon!
Looking into the HSI constituents, there are various Chinese Banks and Insurance companies that fit this category. Energy stocks such as PETROCHINA 中國石油股份 (00857.HK) and CNOOC 中國海洋石油 (00883.HK) look interesting given their company size and consistent cash flow generation capabilities!
Link to CNY FX rate news:
– Mr. Alpha
Image Source: http://www.livetradingnews.com/wp-content/uploads/chinese-money.jpg
Powered by Facebook Comments