GS 高盛-中国每日报告 08.01

China-Daily-Insights 08.01 10页

Today’s focus
China Stance-at-a-Glance: August 2007: Spotlight on earnings
Pacific Basin Shipping (2343.HK): 1H07 preview: expect strong earnings momentum to continue
Clear Media (0100.HK): 1H07 results mostly as forecast, with better utilization at flat prices
ASM Pacific Technology (0522.HK): Business on track for strong 2H performance; raise target price
Headline news
Central bank to tighten real estate credit (China Daily)
Gov'ts warned against price intervention (China Daily)
China tightens management on invoices (Xinhua)
China's energy efficiency improving (Yahoo)
Smelters settle copper contracts (Shanghai Daily)
China Stance-at-a-Glance: August 2007: Spotlight on earnings, Thomas Deng, CFA
• Potentially strong earnings could provide downside support: The H-share market began July on a strong note, but surrendered 4% of gains at the end of the month on the back of global credit contagion concerns and profit taking. However, we reiterate our long-term positive stance on Chinese stocks given their robust earnings prospects and view the recent market correction as a healthy one. We expect market performance to stabilize in August, underpinned by potentially strong interim earnings.
• Domestic A-share market: Strong earnings; stretched valuations