(02-07-2015, 08:10 PM)weijian Wrote: [ -> ] (02-07-2015, 05:29 PM)greengiraffe Wrote: [ -> ]Mainland mkts (including all asset classes) are well controlled...
China relaxes trading rules to try to curb share volatility
AFP JULY 02, 2015 1:50PM
Astute folks have observed that the Chinese authorities have knowledged that the equity market is alittle bubbly and have been taking steps to temper investors' moods (contrast that to Helicopter Ben's testimony in late 2007 that the subprime market was 'under control'. This most probably reflects that the chinese equity markets are still not ripe enough for the bubble bursting. Now, it is informative to know that they are acting like they are succumbing to keep the punch bowl in the party longer.
CCP manages the rice of their billion obedient citizens very carefully - they are good controllers of not only their own destiny but they are also widening their reach to control others...
I view it differently. This is the 2nd attempt to push the shanghai market back up when the market falls after. They are micro-managing daily. I hope they know what they are doing. Is not easy to keep the balls continuously up in the air without good fundamentals. Something has to give.
My view is similar, diverging earnings/fundamentals and share prices cannot be sustained over the longer term.
The 'weekend' rate cuts are now looking more reactionary rather than proactive.
Just like any other stock bubble, when it is blown big enough such that common folks are ignoring their jobs and caught up in the euphoria, when the tide changes, we all know what happens.
sent from my Galaxy Tab S
While mainlanders have also cast doubts amongst foreigners with regards to their integrity, one must never doubt how CCP manages the expectations of their own citizens... its still a big bowl of rice afterall.
(03-07-2015, 08:36 AM)corydorus Wrote: [ -> ]I view it differently. This is the 2nd attempt to push the shanghai market back up when the market falls after. They are micro-managing daily. I hope they know what they are doing. Is not easy to keep the balls continuously up in the air without good fundamentals. Something has to give.
(03-07-2015, 09:32 AM)greengiraffe Wrote: [ -> ]While mainlanders have also cast doubts amongst foreigners with regards to their integrity, one must never doubt how CCP manages the expectations of their own citizens... its still a big bowl of rice afterall.
(03-07-2015, 08:36 AM)corydorus Wrote: [ -> ]I view it differently. This is the 2nd attempt to push the shanghai market back up when the market falls after. They are micro-managing daily. I hope they know what they are doing. Is not easy to keep the balls continuously up in the air without good fundamentals. Something has to give.
Well so far is not working. From high of 5200 to below 4000. Many local retailers are burned. The next range with be between 3K-3.4K.
3700+ liao today with very volatile trading happening. ~25%+ off the peaks, without doubt a spectacular 2 week correction, possibly leading into a crash.
Given the speed of trading and spread of news nowadays, and the fickle herd investing psychology of the chinese masses, this should all play out in about a couple weeks time.
China's securities market regulator has opened an investigation into suspected market manipulation, in the latest in Beijing's increasingly desperate attempts to head off a potential stock market crash that could damage an already slowing economy.
CNA: In struggle to stem market rout, China hunts manipulators
(03-07-2015, 10:18 AM)FA+TA Wrote: [ -> ]China's securities market regulator has opened an investigation into suspected market manipulation, in the latest in Beijing's increasingly desperate attempts to head off a potential stock market crash that could damage an already slowing economy.
CNA: In struggle to stem market rout, China hunts manipulators
A little too late. The should have done this half a year ago.
Once the pumping and dumping is complete, the market will go into freefall.
In CCP we trust... if we can't place our faith in them, there is noone we can trust globally.
No Vested Interests
(03-07-2015, 10:18 AM)FA+TA Wrote: [ -> ]China's securities market regulator has opened an investigation into suspected market manipulation, in the latest in Beijing's increasingly desperate attempts to head off a potential stock market crash that could damage an already slowing economy.
CNA: In struggle to stem market rout, China hunts manipulators