Dreamweaver MX 2004 bug?

I have yet to come across a macromedia bug until now (well not sure if it is a bug). But when I open a html document in DW with this meta tag

<meta http-equiv="Content-Type" content="text/html; charset=UTF-16">

The document shows up written in chinese. But when I delete the meta tag, save and reopen it opens fine. Weird thing is I can open the document in Homesite with no problem at all. And if I copy the code from Homesite meta tag and all then place it in that same document that shows up as chinese adn refresh it shows fine, even with that same meta tag in place. Weird stuff, but it is irritating the hell out of me now.