The Hang Seng slid its way down to finish -0.5% today led by China Mobile. China Mobile, the second
heaviest weighted stock on the index, dropped 5% with a 0.9% drop in first half EBITDA today, due to
an increase in competition. Internet giant Tencent rose again today jumping 6.4%, putting it to a 57%
gain so far this year. Lenovo, the world’s second largest PC maker, grew 6.3% as quarterly profits beat
expectations.
In Europe, the FTSE 300 is down .2% as the rally weakens, yet again, due to lack of action by the central
bank and also a warning from China that its trade outlook for 2012 was worsening. Trading has been low
as many investors see no reason to commit or take risk in Europe until the central banks give incentive.
UK retail sales were up .3% in July and 2.2% year over year, showing the Olympics to not have had as
much of an impact as expected.
World gold consumption is down 7% in Q2, drug down mostly by India and China, says the world gold
council.
Commodities are currently showing crude down, while natural gas, silver and gold are all ready to trade
positive.
Contributer Chris Rygh is currently pursuing his MBA in Wisconsin and has a passion for the Market.
Comments can be directed to ryghcw19@uww.edu