sswan11 Posted October 11, 2011 Share Posted October 11, 2011 http://www.madhedgefundtrader.com/ The Chinese Central bank governor, Zhou Xiaochuan, says he won’t entertain a revaluation for the foreseeable future. The Americans say they need it tomorrow. To me that means about six months. Buy the Yuan ETF, the (CYB). Just think of it as an ETF with an attached lottery ticket. If the Chinese continue to stonewall, you will get the token 3%-4% annual revaluation they are thought to tolerate. Double that with margin, and your yield rises to 6%-10%, not bad in this low yielding world. Since the chance of the Chinese devaluing is nil, that beats the hell out of the zero interest rates you now get with T-bills. Link to comment Share on other sites More sharing options...
Guest misterstockwell Posted October 11, 2011 Share Posted October 11, 2011 The only problem is that CYB doesn't track the yuan very well at all. http://finance.yahoo.com/echarts?s=CNYUSD=X+Interactive#chart5:symbol=cnyusd=x;range=2y;compare=cyb;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined It would be better to just open a yuan denominated account at some place like Everbank Link to comment Share on other sites More sharing options...
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