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What: Shares of Chinese solar firm Yingli Green Energy
So what: A possible feed-in tariff cut could end talk of a hard cap on solar installations, leading to more sales in the region long term. A FIT cut would lead to rampant installations before the cut (possibly in April) and price pressure after the cut, squeezing margins. The trade-off of higher sales and lower margins is apparently one that investors are willing to make.
Now what: The market has applauded this news, pushing the solar sector higher with LDK Solar, JA Solar
Interested in more info on Yingli Green Energy? Add it to your watchlist.
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