Switch from Detroit to China Automotive Systems Inc. (CAAS)
The status of personal transportation varies greatly by country. The United States appears in decline, while emerging economies can hardly meet bludgeoning demands. China is especially spectacular, doubling in less than the last 5 years, and exceeding even the fabled Japan in demands for cars and trucks. The Auto & Truck Manufacturers Industry has lost more than 15% value in the last three months. Should stock investors exit? Is Detroit beyond hope? The truth is that some US automobile majors have expanded feverishly in selected foreign markets. Stock investors can copy this approach: switch investments in the domestic Auto &…