“The ETFs for China may get a boost as their chief economist makes strong claims regarding their V-shaped recovery.  Keep your eyes on iShares FTSE/Xinhua China 25 Index (ETF) (NYSE:FXI) and Claymore/AlphaShares China Small Cap ETF (NYSE:HAO) to see if they respond positively to the news.  iShares FTSE/Xinhua China 25 Index (ETF) (NYSE:FXI) seeks investment results that correspond generally to the price and yield performance of the FTSE/Xinhua China 25 Index.  Claymore/AlphaShares China Small Cap ETF (NYSE:HAO) seeks investment results that correspond generally to the performance of an equity index called the AlphaShares China Small Cap Index,”  Wall St. Nation Reports.

“Reuters is reporting that China will be able to sustain the momentum of its current V-shaped recovery, setting the stage for stronger growth next year than in 2009, Yao Jingyuan, chief economist of the National Bureau of Statistics, said on Saturday. Figures due next Thursday are expected to show that annual gross domestic product growth accelerated to 8.9 percent last quarter from 7.9 percent in the April-June quarter, according to economists polled by Reuters,” Wall St. Nation Reports.

“We can say with certainty that China’s economy is over the worst,” Yao told an economic forum. He identified November 2008 to February 2009 as the trough for the economy. Wall St. Nation continues saying “China’s leaders have consistently said it is too early to start retreating from the stimulative fiscal and monetary policies introduced a year ago to prop up demand.”

SEE FULL STORY: HERE

Here’s a look at the 2 ETF’s mentioned:

The investment (HAO) seeks to replicate, net of expenses, the AlphaShares China Small Cap Index. The fund will invest at least 90% of assets in common stock, ADRs, GDRs, ADSs and IDRs that comprise the index. The index is designed to measure and monitor the performance of publicly-traded mainland China-based small capitalization companies. The fund is nondiversified.

TOP 10 HOLDINGS (HAO)( 23.85% OF TOTAL ASSETS)

Company Symbol % Assets Alibaba.com Limited N/A 1.89 BYD Co. Ltd. N/A 1.8 China National Building Material N/A 2.01 CITIC Pacific Ltd. N/A 4.26 Ctrip.com International, Ltd. (CTRP) 2.49 Dongfeng Motor Group Co. Ltd. N/A 1.92 Jiangxi Copper Company Limited N/A 1.96 NetEase.com, Inc. ADR N/A 3.72 NEW ORIENTAL EDUCATI (EDU) 1.93 SINO-OCEAN LAND (3377.HK) 1.87

The investment (FXI) seeks investment results that correspond generally to the price and yield performance, before fees and expenses, of the FTSE/Xinhua China 25 index. The fund generally invests at least 90% of assets in securities of the Underlying index and in depositary receipts representing securities of the Underlying index. The Underlying index consists of 25 of the largest and most liquid Chinese companies. It may invest the remainder of assets in securities not included in its Underlying index but which BGFA believes will help the fund track the Underlying index. The fund is nondiversified.

TOP 10 HOLDINGS (FXI)( 61.70% OF TOTAL ASSETS)

Company Symbol % Assets Bank of China Ltd N/A 6.44 Bank Of Communications Co., Ltd. N/A 4.06 BOC HONG KONG 2388.HK 4.53 China Construction Bank Corporation N/A 9.07 China Life Insurance Company, Ltd. N/A 8.25 China Mobile Ltd. N/A 9.33 China Shenhua Energy Company Limited N/A 4.64 CNOOC, Ltd. N/A 4.04 Industrial & Commercial Bank of China N/A 7.35 PetroChina Company, Ltd. N/A 3.99

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NYSE:FXI, NYSE:HAO