In a move that underscores the potential of China’s auto market - as well as the viability of so-called “green” technology - investing guru Warren Buffett’s MidAmerican Energy Holding Co. will pay roughly $230 million for a 10% stake in BYD Co. Ltd., a Chinese producer of both cars and specialized batteries.
Rumors of a capital crisis due to overexposure to distressed U.S. securities drove shares of a Hong Kong bank sharply lower today (Wednesday), as concerned customers lined up outside retail branches to withdraw deposits.
While a recent crop of economic data suggests that China is not fully insulated from the economic turmoil that has overtaken the United States and Europe, some of that data is suspect. The upshot: The world’s fastest-growing economy is still much better off than its Western counterparts and probably remains the best long-term option for globetrotting investors.
Continental’s Cost Cuts; Possible Eurozone Telecom Merger; Rising Tide of Foreclosures; Jobless Claims Drop; Inflation Controls Threaten China Stocks; Honeywell Shot Full of Holes; Dupont’s Bumper Crop; Novartis on the Guard Against Influenza.
We didn’t expect it to get this bad this quickly. In our November 13 edition, we sounded the alarm on the Chinese stock market. Around this time, newspapers were filled with stories of novice Chinese investors opening brokerage accounts by the hundreds of thousands.