NEW YORK (TheStreet) -- Doug Kass of Seabreeze Partners is known for his accurate stock market calls and keen insights into the economy, which he shares with RealMoney Pro readers in his daily trading diary.
Among the posts this past week were items about whether the economy is in a recession and signs of a market topping process.
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10 Reasons I'm Looking at China
Originally published on Friday, May 9, at 7:18 a.m. EDT.
I plan to initiate a small starter position in FXI (long) this morning.
As is very well known, the Chinese stock market has performed poorly both in a relative and an absolute sense over the last five years.
There is no reason to rehash the multiple reasons for the weak performance of China's stock market, such as slowing domestic economic growth, a property bubble, opaque reporting/accounting, etc.
I have spent the last week researching potential opportunities in China and I have concluded that the almost universal (and consensus) hatred for the region's markets and skepticism of China's economic growth trajectory could resemble the consensus (and wrong-footed) short bond thesis that existed at the beginning of this year.
I am seriously considering a meaningful long position in this contrarian play (FXI) based on the following 10 observations and conclusions.