International Sector Report

Both international indices in our portfolio have returned to the black, with EWS now up 5.81% and VWO up 2.78%.

Some interesting news out of Singapore this week:

- KKR is buying out MMI, a technology firm that makes parts for computer hard-drive manufacturers. Share prices for MMI went down because KKR did not price it as highly as stockholders expected. KKR did not get heavily involved in Asia until 2005, but it has closed 5 deals since then, including one other in Singapore.

- All of the Asian markets popped on Monday in response to positive US jobs data because more Americans with jobs usually creates a better market for Asian goods

- Thailand’s economic minister called for greater cooperation between ASEAN nations (Singapore is an ASEAN country) because the current influx of capital is similar to the trend before the Southeast Asian collapse in the 1990’s. Cooperation should involve a common reserve pool that can withstand currency and liquidity shocks.