That could mean China ETFs will soon see investors return as FXI is up 8.6% since March 17, the second-best performance among the four major single-country BRIC ETFs.
However, naysayers can note some of FXI’s recent bullishness has been fueled by short-covering. Short interest in the ETF “fell to 17.6 percent, from a record 29 percent of shares outstanding on March 24,” according to Bloomberg. Over the past month, the Direxion Daily China 3x Bull (NYSEArca: YINN) and the Direxion Daily China 3x Bear (NYSEArca: YANG) have both seen creation activity, according to Direxion data.
iShares China Large-Cap ETF
Tom Lydon’s clients own shares of EEM.