it has a big impact on the stock price at times like this when...

it has a big impact on the stock price at times like this when the $A is running hard. Because the RMB is basically pegged to the $US you suffer as a holder of AGF and this is why the stock price has fallen back. Longer term I think that might be a good entry point as the RMB will appreciate in the long run. Think of it this way. Positive sentiment in emerging markets and commodities based on world economic recovery translates into rising equities and non $US currencies. the $A is a free currency so it tends to take a disproportionate share of the enthusiasm basically because the Asians peg their currencies. But eventually the pressures will build on asia to appreciate currencies and then some of the heat may come out of the $A....