SITE NEWS

New IceMD Recording:

Pycnogenol For Your Health;

Reader Comment:

TNRO - great call!!  Bought before the close on Thursday. Earnings out on Monday, 22 October 2007.
1000 Chineese employees cranking out stainless steel day and night for low pay from 2 modern mills.  Numbers should be explosive - TNRO might do a replay of CHNR price move.
D.D.

Sibling Theatricals, Inc. Announces Critically Acclaimed Musical Hats! Opens at Harrah's Las Vegas on January 12, 2008

   Dow Stock News

Honeywell International said Friday third-quarter profit jumped 14%, helped by demand from its defense and industrial clients, as the manufacturer boosted its sales outlook by $300 million for the year.

The Morristown, N.J. company said earnings for the three months ended in September rose to $618 million, or 81 cents a share, from $541 million, or 66 cents a share in the year-ago quarter. Analysts polled by Thomson Financial had forecast profit would rise to 81 cents a share on sales of $8.59 billion. - MarketWatch

Scotch tape and Post-it Notes maker 3M Co. said Friday its third-quarter earnings climbed 7 percent on strong growth across all regions, though sales fell shy of expectations. - AP

Caterpillar Inc., one of the world's largest construction equipment makers, said Friday its third-quarter earnings rose 21 percent as strength in its integrated service business offset weakness in North America.

The company, which also cut its full-year outlook, earned $927 million, or $1.40 per share, compared with $769 million, or $1.14 per share in the year-ago quarter.

Analysts were expecting a profit of $1.43 per share on revenue of $11.19 billion, according to a Thomson Financial poll. - AP

Reuters writes that Microsoft (MSFT) says that its may make a number of small M&A deals but does not plan any blockbuster acquisitions.

The WSJ writes that CItigroup (C) has brought in enought  funding through year end for the $80 billion in SIVs it manages, a move that helps it avoid selling assets at distressed prices

The WSJ writes that GM's (GM) overseas sales have offset a drop in US units so far this year.

WMT Wal-Mart Bernstein Initiated at Mkt Perform

   Ice Man Stocks

Breakouts the Ice Man may consider trading:

YGE - 33.50
FSIN - 16.50
FREE - 10.40
UAUA - 50
JEC - 88
REFR - 16.25

Regular Trades the Ice Man may consider:

SPAR - 18.10
CCJ - 45.80
SAI - 20
CTV - 52.50
SEED - 10.50
AOB - 13.15

Depressed stocks the Ice Man may buy:

EJ - 25 Gap
CDS - 7.85 Gap

Dollar Man Ideas:

CUR - 3.45
JDO - took good volume
ALTI - 4.25
VGZ - a bottoming Gold company
EEE - 5
ADLR - 3.75

   Media Commentators

Cramer's Comments:

Bullish: ICE, KO, NOK, JCG

Zacks:

Positive on : BRCM, CAH, STT

   Ice Cold Commentators

Break Man Video Summary:

Break out buy (or short sell) watch list for short term gains October 19 includes:  HMA, FAF, BONT, MRX, EMMS, GMO, PKTR, DELL

Several candidates for break out or short sell  plays for at least short term gains by buying the break out (or selling the break down) on good volume and closing at least some on the  first day.

Swing Man Market Recap:

The market gapped down Thursday morning on the disappointing earnings results from Bank America.  However, the market seemed to shrug off the bad news fairly quickly as the SPX hit its low for the day at 1532.  The intraday rallies were met with selling and the market traded in a narrow range throughout the session.  Yet, the market managed to recoup most of its losses on the day as the averages closed mixed.  As has been the recent theme, the NDX/Nasdaq posted slight gains while the Dow/SPX finished with small losses.  Thursday night, hosts of company's were set to report earnings with GOOG being the headliner.  These reports could have an impact on the markets Friday morning as well as a speech by Fed Chairman Bernanke slated for 10:00 EST.

Thursday's activity was fairly subdued as the indices traded in a narrow range on rather light volume.  The market appeared like it was going to be in for a rough day when the futures spiked down on the Bank America quarterly report, but there are still retail investors looking to buy the dips.  Based upon the 60 minute charts below the market "may" make another attempt to move higher.  The NDX and Nasdaq are within striking distance of the recent highs and may just try to retest those levels.  However, the market is starting to feel heavy and fewer stocks seem to be participating in the up moves as supply is starting to take control over demand.  The fact that sentiment is stretched so far to the bullish side makes me cautious at this time.  That doesn't mean you can't find a few good opportunities on the long side but under these circumstances I would keep things fairly light.  Trade only the best setups at this time since there will be better opportunities to position more aggressively into new long positions.  Learn to exercise patience and wait for the odds to improve.  Remember CASH is a position and there is nothing wrong with sitting on the sidelines and waiting for a better entry point.

The market continues to hang in there but with the lack of pessimism as well as the proximity to significant resistance levels please adjust your exposure accordingly.  With the elevated risk levels, I suggest making your trades' very short term in nature while keeping tight stops underneath. Finally, be aware that we are in the heart of earnings season and these reports will certainly have an impact on the market over the coming days. Pay attention to the companies set to report so that you are not caught up in some negative earnings surprise.  I have listed below some of the major firms set to report Friday morning.

Good Trading.

Before the market open, blue-chips 3M Corp. (MMM), Caterpillar (CAT), Honeywell International (HON), and McDonald's (MCD) will head a short list of companies that also includes Alltel (AT), Arch Coal (ACI), Boston Scientific (BSX), Harley-Davidson (HOG), Schlumberger Limited (SLB), Wachovia (WB), and Xerox (XRX).

   CNBC Fast Money Review

1. GOOGLE AFTER HOURS

The headline: GOOG Profit Jumps 46%, Beating Estimates; AMD Jumps 2% as Sales Surprise Analysts Despite Narrower-Than-Expected Loss

Najarian says Google investors are concerned that the company is hiring too fast. That´s why the stock initially dropped after hours, but the CEO has since said on the conference call that he´s confident hiring expenses are under control. The stock is up 1% in extended trading.

Pete explains keep in mind that a 40 cent upside move for AMD, a name that´s been treading water for months, is “mammoth

2.WIRELESS WONDER OF THE WORLD

The headline: NOK, World´s No. 1 Handset Maker, Surges After Earnings Nearly Double; Global Market Share Climbs to 39%

Pete Najarian says the international growth story, especially in China and India, is “what it´s all about’ for NOK. The company is also seeing strong sales of its high-end products ($400 - $700 handsets).

3. WALMART

The headline: WMT Once Again Slashes Prices Ahead of the Holiday Shopping Season

Finerman says there´s nothing wrong with delivering value to the customer, It´s “put up or shut up’ time for Wal-Mart, she said.

Macke says this is a familiar event now, and investors should be wary of any company that “gives stuff away’ as its investment thesis.

4. RIDING THE RAILS

Earlier this year, this industry took a big hit on concerns about the housing market, but on Thursday UNP proved the railroads can still make a lot of money moving fertilizer, coal and auto parts around this county. Here´s why you may have another chance to ride the rails.

Adami explains where the trucking industry is faltering; the rails have the opportunity to break out because of pricing power. Lots of activist investors, including Warren Buffett and Carl Icahn, are buying stakes in the rails and it never hurts to follow their lead.

Guy and Karen recommended CSX as the best in show.

Najarain says why do rails get the pricing power benefit over the trucking names? They use less fuel. Because they use less fuel, they can raise prices, which is exactly what Union Pacific did. As long as there are commodities like coal and wheat that need hauling, the railroad companies will stay in business. He likes BNI best.

5. TURMOIL IN OIL

Speculation that Turkey will use force against Kurds in Northern Iraq is pushing oil to record after record this week.

 Jeff Macke explains amid all the earnings news, it has almost been forgotten that crude oil is pushing $90 per barrel. But the implications of high oil are far-reaching. On the retail side, it´s a function of gas prices. Gas prices are actually a relatively small part of the retail pie, but record oil will be one more headwind in the gathering storm facing the consumer going into the holiday season.

Aside from investing in the oil and oil services stocks, the traders picked alternative energy plays ranging from solar to nuclear as a way to hedge against higher oil prices.

Adami went nuclear, recommending SGR for its business in developing nuclear power.

Najarian would be a buyer of the solar complex: JASO, STP and SPWR all have earnings now, “and that´s why they are important.’

Macke recommended NRG, a diversified power company.

6. POPS AND DROPS

ELY popped 12%: Macke said the stock is “pretty nice.’
ASD dropped 3% but then recovered: Finerman thought the valuation was still cheap.
ALL dropped 4%: Adami said at $50 he finds this stock compelling.
FXI dropped 3%: Najarian said he thinks the FXI will keep bouncing around.

7. YOUR FIRST MOVE FOR FRIDAY

Macke recommended INTC. He said if good things are happening at AMD he thinks great things are happening at Intel.
Adami says Short XOM for the second day in a row.

Finerman thought investors should get long LTD because it´s coming out of the S&P 100. There should be force selling she explained – index holders should have to sell.

Najarian said, straight from his own book, CY is a buy.

   News and Events Digest

Breaking News

Media Summary:

According to Reuters, Google's (GOOG) quarterly profit rose 46%.

Reuters writes that Warren Buffett has sold his entire stake in PetroChina (PTR)

The Wall Street Journal writes that Bear Stearns (BSC) is being investigated by Massachusetts regulators over whether the firm improperly traded with two in-house hedge funds that collapsed

The WSJ writes that AMD's (AMD) large loss narrowed some from the second quarter,indicating that chips price wars may be ending.

The New York Times writes that a fund meant to bail out big banks with large pools of troubled securities is having trouble as participants fight over details.

The New York Times writes that the appetite among media companies to buy tech start-ups is rising. Some are setting up their own venture arms.

The New York Times also reports that the BBC will lay-off 2,500 people.

The FT writes that "Halo 3" drive a big gain in US video game sales.

The FT writes that crude rose above $90 a barrel.

Barron's writes that several brokerage houses raised their price targets on Google (GOOG)

IPO Central:

IPOs on schedule for the week of 10/22/2007:

BioHeart (BHRT). The company is a biotechnology company focused on using cells derived from a patient's body for treatment of heart damage. The company is selling 4.2M shares at the initial range between $6-$8. The company announced Revenues for the last 12 months of $0M and Net Income of $(-13)M. The Lead Managersis Merriman and Dawson James is Co-Manager. BioHeart (BHRT) is headquartered in Sunrise, FL and their website is www.bioheartinc.com.

CVR Energy (CVI). The company is a Midwest refiner of transportation fuels and producer of fertilizer products. The company is selling 18.5M shares at the initial range between $18-$20. The company announced Revenues for the last 12 months of $2,955M and Net Income of $17M. The Lead Managers are Goldman Sachs and Deutsche. CVR Energy (CVI) is headquartered in Sugar Land, TX and their website is www.coffeyvillegroup.com.

Shares of Noah Education Holdings Ltd., a Chinese provider of interactive education content, are expected to begin trading Friday after the company's initial public offering of American Depositary Shares priced at $14 per ADS.

M&A Activity:

Steven Madden Ltd. (SHOO) said Friday that unnamed third parties have expressed interest in buying the company and that shareholders have asked the company to explore alternatives to enhance shareholder value. As a result, the board of the Long Island City, N.Y.-based shoe maker has formed a committee of three independent directors to evaluate strategic options. - MarketWatch

Stock Split Announcement:

Actuant Corporation (Ticker: ATU) announced that its board of directors approved a 2 for 1 stock split.

Economic Data:

   Upgrades and Downgrades by Sector:

Airlines - Passenger
 AMR AMR Corp Calyon Securities Downgraded from Buy to Add $28

Apparel
 VFC V.F. Corp Nollenberger Capital Price Target Raised Buy $100 to $102

Beverages
 HANS Hansen Natural JP Morgan Downgraded from Overweight to Neutral

Biotech
 GILD Gilead Sciences Friedman Billings Price Target Raised Mkt Perform $38 to $43
 GILD Gilead Sciences Rodman & Renshaw Price Target Raised Mkt Outperform $43 to $56

Brokerage Services
 ICE IntercontinentalExchange BMO Capital Markets Downgraded from Outperform to Market Perform

Business Services
 WNS WNS Credit Suisse Upgraded from Neutral to Outperform $22 to $28
 ACN Accenture Credit Suisse Initiated at Outperform $50 to $48
 G Genpact Credit Suisse Initiated at Outperform $20

Chemicals - Ethanol
 PEIX Pacific Ethanol Broadpoint Capital Initiated at Sell
 AVR Aventine Renewable Energy Broadpoint Capital Initiated at Underperform
 VSE VeraSun Energy Broadpoint Capital Initiated at Underperform

Computer Hardware
 TER Teradyne JP Morgan Upgraded from Neutral to Overweight
 CERN Cerner Friedman Billings Price Target Raised Outperform $66 to $72
 LOGI Logitech Intl SA Kaufman Bros Price Target Raised Buy $32 to $40
 OMCL Omnicell Broadpoint Capital Price Target Raised Strong Buy $28 to $32
 AAPL AAPL - price target raised to $205 at RBCM price
 AVCT Avocent Kaufman Bros Cut Price Target Buy $36 to $35
 TER Teradyne HSBC Securities Cut Price Target Neutral $16 to $14.50

Computer Services
 CSC Computer Sciences Credit Suisse Upgraded from Underperform to Neutral $52 to $62
 INSP InfoSpace Needham & Co Upgraded from Hold to Buy
 PKTR PKTR - upgraded to Buy at CHLN upgraded
 CSC CSC - resumed with a Neutral at FBCO resumed
 SYNT Syntel Credit Suisse Downgraded from Outperform to Neutral $40 to $44

Computer Software
 CYBS CyberSource Needham & Co Upgraded from Hold to Buy $15
 INFA Informatica Broadpoint Capital Price Target Raised Buy $17.50 to $18
 CTSH Cognizant Tech Credit Suisse Initiated at Outperform $53
 CTSH CTSH - initiated with an Outperform at FBCO with $53 price target initiated
 EDS EDS Credit Suisse Downgraded from Outperform to Underperform $30 to $21

Dental Equipment
 SIRO Sirona Dental Systems Robert W. Baird Downgraded from Outperform to Neutral $40 to $35

Finance Companies
 COF Capital One Friedman Billings Downgraded from Outperform to Mkt Perform $91 to $75

Foods
 HSY Hershey Foods Piper Jaffray Downgraded from Market Perform to Underperform
 PPC Pilgrim's Pride BMO Capital Markets Downgraded from Outperform to Market Perform

Healthcare
 KG King Pharms Citigroup Upgraded from Sell to Hold
 CYTR CytRx Oppenheimer Initiated at Buy $6
 VRTX Vertex Pharm Cowen & Co Downgraded from Outperform to Neutral

Healthcare Equipment
 ISRG Intuitive Surgical HSBC Securities Price Target Raised Overweight $198 to $325
 ISRG ISRG - price target raised to $293 while maintaining a Hold rating at Jefferies price
 MVIS Microvision Maxim Group Initiated at Buy $7
 ELOS Syneron Medical Merriman Curhan Ford Downgraded from Buy to Neutral
 STJ St. Jude Medical HSBC Securities Downgraded from Overweight to Neutral $48 to $46
 BSX Boston Scientific HSBC Securities Cut Price Target Neutral $17 to $15

Healthcare Facilities
 DVA DaVita Oppenheimer Downgraded from Buy to Neutral

Healthcare Services
 RDNT RadNet Deutsche Securities Initiated at Buy $11.50

Hotels and Motels
 LHO LaSalle Hotel RBC Capital Mkts Upgraded from Outperform to Top Pick

Household Goods
 TPX Tempur-Pedic CIBC Wrld Mkts Price Target Raised Sector Outperform $40 to $42

Industrial Equipment
 IEX IDEX Corp Friedman Billings Upgraded from Mkt Perform to Outperform $40 to $41
 AME Ametek CIBC Wrld Mkts Price Target Raised Sector Outperform $48 to $50
 NANX Nanophase Tech Broadpoint Capital Cut Price Target Buy $9 to $8

Insurance
 CNC Centene Jefferies & Co Upgraded from Hold to Buy $19 to $30
 UNH UnitedHealth JP Morgan Downgraded from Overweight to Neutral
 PMI PMI Group Friedman Billings Cut Price Target Mkt Perform $40 to $27

Internet Services
 GOOG Google Citigroup Price Target Raised Buy $600 to $775
 GOOG Google Cantor Fitzgerald Price Target Raised Buy $650 to $750
 GOOG Google Nollenberger Capital Price Target Raised Buy $650 to $720
 GOOG GOOG - price target raised to $800 at FBCO price
 GOOG GOOG - price target raised to $800 at Goldman Sachs price

Major Pharmaceutical
 AZN AstraZeneca UBS Downgraded from Neutral to Sell

Manufacturing
 PH Parker-Hannifin CIBC Wrld Mkts Upgraded from Sector Underperform to Sector Perform
 DHR Danaher CIBC Wrld Mkts Price Target Raised Sector Outperform $85 to $88
 DHR Danaher Friedman Billings Price Target Raised Outperform $86 to $92
 MHK Mohawk Morgan Keegan Downgraded from Outperform to Mkt Perform
 WCC Wesco CIBC Wrld Mkts Downgraded from Sector Outperform to Sector Perform

Mining - Steel & Iron
 NUE Nucor CIBC Wrld Mkts Price Target Raised Sector Outperform $69 to $70

Mining Non-Ferr Metal
 PCU Southern Copper UBS Downgraded from Buy to Neutral

Multi-National Banks
 HBC HSBC Holdings UBS Downgraded from Buy to Neutral

Oil and Gas
 SLB Schlumberger Calyon Securities Price Target Raised Neutral $100 to $102
 HES Hess UBS Downgraded from Buy to Neutral
 VLO Valero Energy Friedman Billings Cut Price Target Outperform $94 to $92

Real Estate
 AFR American Financial Realty Trust Stifel Nicolaus Upgraded from Sell to Buy $7.50

Regional Banks
 STI SunTrust Banks Bernstein Upgraded from Underperform to Mkt Perform
 FED FirstFed Financial Friedman Billings Downgraded from Mkt Perform to Underperform $50 to $35
 PFBC Preferred Bank Friedman Billings Downgraded from Outperform to Underperform $44 to $33
 ZION Zions Bancorp Stifel Nicolaus Downgraded from Buy to Hold
 FCBP First Comm Banc Friedman Billings Cut Price Target Outperform $65 to $63
 STI SunTrust Banks Friedman Billings Cut Price Target Underperform $75 to $70

REITs
 AMB AMB Property Friedman Billings Price Target Raised Mkt Perform $63 to $66
 HST Host Hotels RBC Capital Mkts Downgraded from Top Pick to Outperform

Restaurants
 EAT EAT - upgraded to Market Perform upgraded

Retail Trade
 JCG J. Crew CIBC Wrld Mkts Upgraded from Sector Perform to Sector Outperform
 JCP JC Penney Bernstein Initiated at Outperform
 TGT Target Bernstein Initiated at Outperform
 CAB Cabela's Robert W. Baird Downgraded from Outperform to Neutral
 TLB Talbots CIBC Wrld Mkts Downgraded from Sector Outperform to Sector Perform
 CAB Cabela's Friedman Billings Cut Price Target Mkt Perform $25 to $24
 CHS Chico's FAS Friedman Billings Cut Price Target Mkt Perform $14 to $13

Savings & Loan
 FHN First Horizon Citigroup Upgraded from Hold to Buy $29
 BKUNA Bankunited Fin Friedman Billings Downgraded from Outperform to Mkt Perform $20 to $12

Semiconductors
 UTEK Ultratech Brean Murray Cut Price Target Hold $16.50 to $15

Solar Energy
 SPWR Sunpower Piper Jaffray Price Target Raised Market Perform $60 to $105
 SPWR Sunpower Needham & Co Price Target Raised Buy $80 to $114

Technology
 EXLS ExlService Credit Suisse Downgraded from Outperform to Neutral $29 to $27

Telecommunications
 HLIT Harmonic Friedman Billings Upgraded from Mkt Perform to Outperform $10 to $14.50
 PLCM Polycom Banc of America Sec Initiated at Buy $36

Training Software
 EDU EDU - initiated with an Outperform at W. Blair initiated

Transportation
 ODFL Old Dominion Bear Stearns Upgraded from Underperform to Peer Perform
 OSG Overseas Shipholding Banc of America Sec Upgraded from Neutral to Buy

Utilities
 PGN Progress Energy Calyon Securities Initiated at Add $50

Ideas from other sites:

________________________

Robert Hsu's China Strategy Dispatch

I've mentioned this before but I'll say it again: China's economic emergence is creating a strong demand for global tourism. Increasing wealth and leisure time has allowed millions of Chinese tourists the means to travel abroad. Our own Ctrip (NASDAQ: CTRP) has been riding this incredible growth trend to new highs in the  past two years—the stock is up 139% for us so far.

Though Ctrip is our only current play on Chinese tourism, I  expect that this will be an investment theme that we will build on as China's  middle class continues to prosper from this economic boom.

While we're talking about economic prosperity in China,  this week has brought some good news for our holdings. Though there hasn't been  much coverage of it, the big event in China  this week is that the Communist Party Congress is in session Beijing.

Like our own U.S.  sessions of Congress, many topics are pretty much business as usual. For  example, Chinese President Hu Jintao announced that economic growth is still  the highest priority for the government, and that the country will use its increasing wealth to help the rural poor and  migrant workers. This is certainly positive for China's  economic growth as well as for the perception of government in China.

But the real gem to come out of this meeting was about the  pilot program called the QDII that I've been telling you about. For those who  are new to China Strategy, the pilot  program allows Mainland Chinese to invest in Hong Kong-listed shares directly  for the first time.

In Congress, there are talks that Beijing  will open the floodgates to fully allow Mainland Chinese capital to move into  the Hong Kong stock market. This bullish  catalyst, which I've focused on during the past six months, continues to drive  our China Strategy stocks to new  heights. Several of our stocks, such as Sinopec (NYSE: SNP), CNOOC (NYSE: CEO), China Life (NYSE: LFC), China Mobile (NYSE: CHL) and China Aluminum (NYSE: ACH), all shot up  more than 7% yesterday when this news came out.

What it comes down to is that the catalysts just keep  rolling in for our China Strategy holdings. Between positive earnings reports, new investment trends like tourism  and positive government regulations, we have many things to look forward to  with our investments.

Updates on  Our Companies

Apple (NASDAQ: AAPL): According to CEO Steve Jobs, Apple will soon  allow third-party applications on the iPhone. The company will release a  software development kit in February that will enable outsiders to create applications  for the iPhone and iPod touch. This is a smart move—it will bring hundreds  of new applications to iPhone users and open up an even wider audience for the  phone.

Also,  Apple selected French wireless carrier Orange to  be the exclusive partner for the iPhone in France. Orange  will begin offering wireless service for the iPhone, which will go on sale in France  on November 29. France will become the third European country after Britain  and Germany  to sell the iPhone. Apple could receive as much as 30% of the subscriber  revenue there.

Meanwhile,  Apple will release its next-generation operating system, Mac OS X "Leopard," on  October 26 for $129. Leopard is the sixth major upgrade Apple has made to Mac  OS X since it debuted in 2001. In the second quarter, Apple ranked the  third-largest U.S.  computer vendor with 6.4% market share. I expect the new operating system to  further boost its computer sales.

 Apple  will report quarterly earnings this Monday, October 22, after the market  closes. I expect it to report approximately 40% earnings growth. Buy AAPL under $170.

China Life (NYSE: LFC): Investment bank Merrill Lynch raised its target price on China Life by  40% due to its robust investment returns from the Chinese stock market and kept  its "Buy" rating on the stock. The brokerage firm forecast that China Life  could outperform the market in the next six to 12 months on its huge investment returns and fourth quarter premium income. I agree with these estimates and am bullish on the company's forward  prospects.

Also, China Life's shares soared after the Chinese  taxation authority decided not to impose a tax on the book earnings from stock  and real estate investments of publicly traded Chinese companies. As the  biggest institutional investor in China, China Life will greatly  benefit from this decision. Buy LFC  under $90.

CNOOC (NYSE: CEO) is currently building China's first offshore wind power plant in the Bohai Sea  off the northern Chinese coast. The project will have a total capacity of 1.5 megawatts. This is part of CNOOC's plan to become a more diversified energy conglomerate, focusing on downstream petrochemicals, oil retail and new sources of renewable energy.

Investment bank Citigroup downgraded CNOOC to  "Hold" from "Buy" based on current valuations but lifted its price target by  37% due to high oil prices. The brokerage firm adjusted CNOOC's profit  prospects upward for 2007 and 2008 by 9% and 15%, respectively. The increase  was made to reflect anticipated oil price surges in the coming years. The firm expects  CNOOC's oil and gas output to grow 16% on average in the next three years. Buy CEO under $180.

Companhia  Vale do Rio Doce (NYSE: RIO) recently approved an $11 billion  investment budget for 2008. This is the biggest annual investment program ever  for any mining company. According to the budget, $1 billion will be dedicated  to its Canadian nickel operations, and investments in Brazil will  account for about $8 billion.

CVRD said that funding its $59 billion  five-year investment plan will not be a problem. The company will rely on cash  flow from selling metal and iron ore at current prices to finance its plan.  CVRD expects to double its output of copper, expand production of iron ore and  nickel and develop aluminum production. I'm glad that CVRD continues to  concentrate on organic growth. Buy RIO under $35.

Ctrip (NASDAQ: CTRP) is scheduled to report its third quarter  earnings on November 7, after the market closes. I expect the company to report  40%+ revenue growth. Buy CTRP under $45.

Huaneng  Power (NYSE: HNP) generated 124.5 billion kilowatt hours of electricity in  the first nine months of this year, up 11% from the same period a year earlier.  Six new generating units came into operation from January to September, which  contributed greatly to the company's growth. Given its strong growth thanks to China's rising energy demand, I want you to buy HNP  under $50.

iShares MSCI Hong Kong Index (NYSE: EWH): Hong Kong's unemployment rate dropped again on  strong domestic demand, fueled by its strong stock market. The jobless rate in  the third quarter was 4.1%, sharply down from 8.6% in July 2003. I expect this  number to fall to 3.9% by the end of this year. Hong Kong's  healthy economy is great news for our holdings in EWH. Buy EWH under $24.

Mindray (NYSE: MR) will report its third-quarter earnings on November  1, after the market closes. I expect the company to report 50%+ sales growth. Buy MR ahead of its earnings report under  $33.

Morgan Stanley China  A-Share Fund (NYSE: CAF): Early this week, China  reported its inflation rate had slowed in September after reaching a 10-year  high of 6.5% in August

The drop eased concerns about social unrest and the possibility of  another interest rate increase. As a result, China's stocks rose to new highs  early this week. The CSI 300 Index, which tracks A-shares on China's two  exchanges, climbed 55.76 points or 1% to close at 5,877.2 on Tuesday. The  Shanghai Composite Index also rose 61.97 or 1% to 6,092.06, the first time in  history that it closed above 6,000. The run in China's markets is good news for  our investment in the Morgan Stanley closed-end fund. Buy  CAF under $70.

New Oriental (NYSE: EDU): As you may  recall, New Oriental reported lackluster earnings last quarter. I believed the  company was simply experiencing some growing pains and that its results would improve  this quarter. It looks like the company didn't disappoint us—EDU  reported terrific earnings on Monday morning. Net income climbed an impressive  55% to 256 million yuan ($33.9 million) or 87 cents per share from 165 million  yuan in the same period last year, while total revenues increased 43% to 612  million yuan ($81.1 million) from 429 million yuan.

In  the three-month period from June to August, total student enrollment in language-training  and test-preparation courses grew 31% year-over-year to 440,500. The company also  opened two new schools and 17 new learning centers during the quarter, bringing  its total number of schools and learning centers to 37 and 149, respectively.

Looking  ahead, New Oriental expects its total net revenues in the second quarter of its  fiscal year 2008 to be in the range of $28.0 million to $29.8 million. That  represents about 30% growth from last year.

The stock jumped nearly 13% on Monday after  the earnings announcement. Buy EDU under  $55.

Sinopec (NYSE: SNP) plans  to spend 1.5 billion yuan ($200 million) reconstructing gas stations nationwide, and introducing convenience stores, car services, McDonald's, ATMs and other services.

By  the end of June, the company had a total of nearly 30,000 gas stations across China.  It started cooperating with McDonald's last year by opening restaurants at  services stations in Beijing, Shanghai,  Guangzhou, Tianjin, Chengdu and  Shenzhen. I believe the reconstruction will significantly boost Sinopec's gas  sales and diversify its revenue streams.

Investment bank Citigroup upgraded Sinopec  to "Buy" from "Sell" and suggested that Sinopec is now its top pick in the  Asian oil sector. It has been our top pick since I recommended it last year,  and I'm glad to see that Citigroup has come around to our thinking—even if  they did miss the first 141% gains that we've experienced. Buy SNP under $121.

streetTracks Gold Shares (NYSE: GLD): Gold  jumped to a fresh 28-year high of $767.05 earlier this week, its highest point  since January 1980. Geopolitical tensions, inflationary hedging against record  oil prices and safe-haven buying are contributing to the big boost in gold  prices. Given the tight fundamentals and strong buying momentum, I expect gold prices  to remain at record levels in the coming weeks. Buy GLD under $80.

Suntech Power (NYSE: STP) is scheduled to report its third-quarter earnings on November 15, before the market opens. I expect the company to report 100%+ sales growth and at least 40% in profit growth.

Others  may suspect that Suntech will announce a strong quarter as the stock rose  significantly higher on increased volume on Tuesday after Morgan Stanley initiated coverage of the alternative clean energy sector with an "Attractive" rating. Buy STP under $50.

Taiwan Semiconductor (NYSE: TSM) will report its third-quarter earnings on October 25. Based on its 18% increase in sales  for the quarter, I expect the company to deliver strong earnings. Buy TSM under $13.