This page has been archived and commenting is disabled.
China Is Crashing (Again)
It appears - as opposed to what the world's asset-gathering commission-takers would have one believe - that huge illiquid spikes in bond markets are not good for stocks. As the bond carnage continues to careen throughout Asia, Chinese stock investors appear to have decided enough is enough at doubling their money in a mere few months. After early weakness out of the gate, the ubiquitous dip-buyer-of-last-resort failed to appear as the afternoon session arrived and Chinese stock indices are down between 5% (Shanghai Comp - which never took out its previous highs) and 7% (CHINEXT which was up over 16% in the last 3 days) overnight. Everybody better be hoping for a disastrous jobs number on Friday or this drop may suddenly become the long lost 'healthy' correction in global stocks so many have called for.
Today...
And the last week... 10% correction... 16% face-ripper... 7% correction
Every asset manager in the world is currently praying that MSCI does not include China in its indices or risk budgets everywhere will be blown and exposure to global equities will be forced lower.
Charts: Bloomberg
»
- 15083 reads
- Printer-friendly version
- Send to friend
- advertisements -
Who cares, real commies don't trade on the stock market! Only capitalist pigs do!
/channeling my inner Obamabot
this is hardly "enough is enough" nor is it because of the foreign bond market lol
i'll come back in a few hours and it'll be up at least half of the loss because it was just momentum from some margin news going across wechat right now
i mean, really... the two things that get Zero Hedge's cock just ROCK HARD and cause their brain to stop working: Putin and crashing stocks :P you reaaaally think investors on shenzen right now really woke up and said FUCK BOND MARKETS ENOUGH IS ENOUGH WE'RE SELLING because of this bump :D there are GOOD reasons why the stock market should crash... these aren't them tho :P
SSE comp is now positive half a percent and SZSE comp is negative just half a percent :P
so... yeah... don't try apply fundamental or economic market logic to it. it's all emotion and momentum. :D
"China is crashing"
All according to the Rockefeller=Rothichilds=Kabuki Theater Plan.
http://redefininggod.com/nwo-schedule-of-implementation/
Get used to disappointment, kids.
"who cares ...."Every asset manager in the world"
use value v. exchange value...Econ 101.
Shanghai'd. Too many people for FED software algos. to compensate for. Lets see where we are after the dust settles.
It has taken over 2 years since the reports about empty cities and bridges across rivers where there were no road to actually show up in the market. Heck make that 5 years come to think about it. This dog and pony show will go on for quite a while yet. The EU will crack first.
Chinese firm picked to help build UK tidal power plant
China’s Dalian Wanda buys Australian cinema chain Hoyts
More Nasdaq-listed China firms seen returning home
China Steps Up Investments Abroad
When China joined the WTO at the end of 2001, its OFDI barely exceeded US $2 billion. But by 2014, the figure had increased nearly 40-fold. The country has become a major source of capital outflow. In 2013 and 2014, China’s OFDI flows successively ranked third in the world.
In his speech at the CEO Summit of APEC meetings in November 2014, Chinese President Xi Jinping remarked that China’s investment abroad in the next 10 years was expected to reach US $1.25 trillion. This implies that China’s OFDI will grow threefold in this period from 2014
OFDI by non-state-owned companies has surpassed that of state-owned enterprises (SOEs), which used to dominate this field. In recent years, private companies have played an active role in investments abroad and constantly increased their share of the OFDI flow: Geely bought Volvo; Fosun International bought a controlling stake in Portugal’s largest insurance group Caixa Seguros; Wanda Group acquired the world’s second-largest cinema chain AMC Entertainment, to name a few. In 2014, 56 percent of the total amount of China’s OFDI was generated by non-state-owned enterprises.
As CCG director Wang Huiyao pointed out, “Chinese enterprises are entering a new era in terms of globalization.”
Data from China’s Ministry of Commerce reveal that Chinese investors channeled capital into 6,128 overseas firms in 156 countries and regions in 2014. Its outbound foreign direct investment (OFDI) into non-financial sectors hit US $102.9 billion, up 14.1 percent year-on-year. Foreign direct investment (FDI) in China totaled US $119.6 billion, 1.7 percent higher than last year. Taking profit reinvestment and investment via third countries into account, China’s OFDI was, for the first time, higher than the FDI, meaning that China has become an economy with a net capital outflow. (they are coming....)
Comment: Guess who is buying all bankrupt companies? China's financial power is barely being felt as their RMB currency becomes the leading trade currency, is held in reserves by various countries and their state and non state enterprises keep growing outside of china showing their global outreach and financial power. Money flows will rise further both in and out of China and all future profits will be booked in China instead of other nations thus stabilising their balance sheets and enlarging them even further.
Money, like water, flows where there is growth!
Dont tell them the harsh truth let them eat comfortable chinese collapse lies meme being fed by tyler durden .
"Max Steel"
"them"?
Yeah, you're in the innner circle.
Those who still fall for this meme .
This doesn't piss me off. What pisses me off is that its's 2am, I took a double dose of sleeping pills, I'm wired as fuck and it looks like I'll be up till dawn. On the plus side I'm reading a lot of interesting things about Alaska.
china stocks are back in the green now...just like all those leftovers in the back of your fridge...
you should edit or remove this...
nah if anything the fact it went up again shows just how crazy the market is. it's probably worse news, fundamentally speaking about the stability for chinese investments in general, that even after a drop like that (which was a silly overreaction to begin with, an immature to sign by itself) it could recover so easily. it's probably more relevant news now after going back up than had it stayed down haha :P
The only way out is suicide
How surreal it is to watch the end of the world unfolding in slow motion before my eyes. 7 years now. In the bigger scheme of things 7 years is the blink of an eye
Kuntsler tagged this epoch perfectly when he called this The Long Emergency... (he predicted all of this in 2004)
"The only way out is suicide"
Man up!
If the previous 3 generations thought that way, you wouldn't be here.
It is not just a change in the "financial system" (fake as it will be).
We need to stand up and call it...no more fucking corruption and "ruling class".
Use value = the calories spent in work.
It was here long before money and was here longer than the short "money" scam.
IF you can bitch, you can use a shovel.
We need food, water, shelter and sanitation systems.
That will cost each of us about 12-20 hours a week, no more...just like before "money".
All the Chicken Littles are screaming 3 X a week about the Chinese economy/market/whatever "crashing". Meanwhile, the people are living nice, productive lives in a growing economy, paying no attention the hype from America, where everything IS failing.
Lots of people in Shanxi coal and iron country out of their mining jobs. The fish may rot from the head, but china's economy, like an apple, is rotting from the bottom up.
You sheltered types in the first-tiers cities will be the last to know. It'll be a long while before your debt-driven morphine in the premier financialised cities fades out.
Another misinformed new recruit twat from george soros foundaion troll brIgade .
You make a lot of posts, so I'm guessing the Chinese gov pays you well.
Yup it's been only ten days and you are ranting filth on every zh posts with my with your exceptional empty brain .You got nothing remotely clever or intelligent to contribute . Perfect skill of a hasbara troll . you need to Earn more shekels it ain't easy to live in west these days troll or better ask your uncle george to raise your monthly checks .
Yup it's been only ten days and you are ranting filth on every zh posts with my with your exceptional empty brain .You got nothing remotely clever or intelligent to contribute . Perfect skill of a hasbara troll . you need to Earn more shekels it ain't easy to live in west these days troll or better ask your uncle george to raise your monthly checks .
They actually pay you to write this gibberish by the word count? No wonder they have so much debt.
I see they are living nice and productive lives in china there but by reading the American government and its captive press propaganda you think you know something . So things are really getting worse in US ? Well when people resort to trolling its understood in what good shape you are . I see you are more of pissed that ussa free press chinese collapse media hype didn't work yet . everything IS failing back in usa . Enjoy your dream .
China has debt, but they use it to build infrastructure that will be around a long time. America prints money to pay the interest on the money they borrowed from China.
+1 Exactly but don't tell him . He can't bear it .
Infrastructure degrades pretty fast, especially roads, and needs on-going maintenance costs. In fact, high-speed rail is a maintenance nightmare. It only makes sense if it is going to be heavily used.
When youre ready to begin talking like an adult who knows actual economics, catch up to me in a different thread.
Suck it on fox noows troll .
I'm in a second tier city, and all my relatives are in third tier cities. Maybe you should spend some time in China instead of relying on Fox News for your "facts".
Doomsday Durden .... cheerleading the crash (again) ! LOL
What makes these Commies .... think they can outsmart .... our best Jewish bankers .... "There is one Ponzi and we are the Ponzi masters !"
"China is crashing again"
When September comes around, don't be long (or cash) USD.
This plan was written in the 30's and it is going to happen.
Yuan will be the reserve currency...eventually as planned.
The USD fluff vallue that we have all skated on for almost a century will disapear in a Shanghai second....
The US drug-addicted 3rd world won't even be able to buy a "fix".
If you aren't thinking about how your skills can compete (in Yuan value) with a Chinese PhD that will charge $7k a year, you're fucked.
US bank assets: $4 trillion
China bank assets: $15 trillion
Yep, that's the makings of a sound currency. China knows how to print the fastest, therefore it should be the number one fiat.
Did you ever get your tricycle out of your sinkhole ? The mighty fiat right now is USD thats why others are riding on the de-dollarizth bullet train . Chinese yuan isn't a fiat it will be backed by gold and growth unlike usa finanacial ponzi schemes , market manipulations and dead horse economic diwndles . Keep on sucking US economists and experts hard dick knucklehead dindu noobins
It "will be" backed, huh?
Nope.
You really can't speak to the issue pointed out, which is that China never met a problem where printing money by the trillions wasn't the answer. It's far better than the US at rapidly printing money. Why would it reverse course now, when it mastered the art of having a debased fiat?
All you have is "will be" and that's all you'll ever have.
As one say #WHATEVER HELPS YOU SLEEP
Why not ? btw chinese are enjoying on dollar expense Well one can only lead you to truth , they can't make you think . Your wet dreams of chinese coming collapse is preposterous . Try some deeper analysis, although that would require you to appreciate a wider variety of facts, rather than continuing to be able to rely upon your abbreviated misunderstanding of the issues. A bit like the "Russia appears to be doing alright - but you just wait - it is DOOMED" meme, for the last ten years we have been warned of the impending crash of Beijing, Meanwhile, the Chinese economy has more than doubled overtaking that of the US .
World need morons so lighten up .
Lol, you actually get paid to speak chinglish like this?
Don't let the facts hurt your trolled brain . Did you ever stop beating your wife 11 day old ignorant basement murican sook .
Not only is "China crashing" but so is FIFA and so is the West's spiel on fighting ISIS :
On FIFA : http://www.theguardian.com/football/2015/jun/04/fifa-crisis-jack-warner-...
Avalanche of secrets to save his neck !
On ISIS : http://www.theguardian.com/commentisfree/2015/jun/03/us-isis-syria-iraq
Seems like the Guardian is now throwing all the Mainstream media punches.
So much for the Americans saying they are fighting the ISIS jihadists and have struck a deadly blow by killing around 10000 !
http://uk.businessinsider.com/us-has-problem-if-it-killed-10000-isis-fig...
What a soiled and dirty plate of spaghetti these "yes we can" shills cook.