Once again China’s Shanghai Composite Index is breaking records, and taking the China-focused stocks and exchange traded funds (ETFs) with them. According to published reports, the aforementioned index flew beyond the 4,000 point mark for the first time. Darla Mercado for InvestmentNews reports the index has been lifted by a wave of investment activity due to rising stock prices. In Shanghai prices have risen 50% continuing the 2006 gain of 130%; while the Shenzen Index has gained 100% this year.
The Chinese markets and ETFs are coming back from the fallout in February.
- iShares FTSE/Xinhua China 25 Index (FXI) up 1.5% today and 13% since the fallout;
- PowerShares Golden Dragon Halter USX China (PGJ) up 1.4% today and 10% since the end of February;
- SPDR S&P China (GXC) up 2% today; this is a new China focused ETF that began trading the end of March 2007
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