Chinese stocks destroy $39.8B in U.S. wealth

[Freewill]

As Obama pushes for Kenya homosexual love and Huckabee is saying yet another stupid thing this is going on. I think I remember that the left was praising China not so long ago. As usual the opposite of success is going to happen and it appears it will bring us all down. We all better get down to Harbor Freight and buy some tools.


The 144 China-based stocks with primary listings on major U.S. exchanges have erased nearly $40 billion in paper wealth since the Shanghai Composite index peaked on June 12. It's an enormous destruction of wealth that in effect wipes out the market value of a company the size of cruise ship operator Carnival.

Chinese stocks destroy 39.8B in U.S. wealth

 

[SwimExpert]

So....the Chinese stock market isn't doing so well.

 

[CrusaderFrank]

Rdean said the Chinese were smarter than us and their government was going to prop up their stock market

 

[DrDoomNGloom]

Hmmmmm, do you really live in a fantasy land where all stock markets are bull and the bear never kills??

ROFLMMFAO ..........................

 

[Moonglow]

Freewill is just a little behind, the stock market losses have been going on since spring and China is having a recession in the real estate market..No surprise, as with all things that go up, must come down....

 

[Freewill]

Hmmmmm, do you really live in a fantasy land where all stock markets are bull and the bear never kills??

ROFLMMFAO ..........................

You mean like the whining about 2008 was over nothing?

 

[Freewill]

Freewill is just a little behind, the stock market losses have been going on since spring and China is having a recession in the real estate market..No surprise, as with all things that go up, must come down....

Once again you are completely wrong. You say exactly what you think is reality without even coming close.

SHCOMP Quote - Shanghai Stock Exchange Composite Index - Bloomberg Markets

 

[DrDoomNGloom]

You mean like the whining about 2008 was over nothing?

So now you have changed the subject to "whining"??

You are a confuse little fuck, aren't you .......................

 

[Mac1958]

It'll come back.

.

 

[Freewill]

It'll come back.

.

Spoken like a true financial adviser.

 

[Freewill]

You mean like the whining about 2008 was over nothing?

So now you have changed the subject to "whining"??

You are a confuse little fuck, aren't you .......................

My mistake, I thought that the left wing did nothing but whine about how Bush created the "great recession." Must be China, or communists, I was thinking about.

 

[Mac1958]

It'll come back.

Spoken like a true financial adviser.

A reporter once asked JP Morgan what he expected the market to do.

He paused a moment and said, "I expect it to fluctuate".



Actually, I'm spending some time today trying to figure out what a bottom might look like, that could be a nice buying opportunity.

.

 

[Freewill]

It'll come back.

.

If you look at the graph, the Chinese market is actually up about 40 percent since last November, so this is a bump but they are still doing well. Apparently, as there was in 2008 in the US, a bubble in the Chinese market, which broke.

 

[waltky]

Granny worried `bout her rickshaw stock...

China stock probes send shivers through investment community
1 Sep.`15 - Investigations by Chinese authorities into wild stock market swings are spreading fear among China-based investors, with some unsure if they are simply helping with inquiries or actually under suspicion, executives in the financial community said.

Chinese fund managers say they have come under increasing pressure from Beijing as authorities' attempts to revive the country's stock markets hit headwinds, with some investors now being called in to explain trading strategies to regulators every two weeks. One manager at a major fund - part of the "national team" of investors and brokerages charged with buying stocks to revive prices – said a friend, also an executive at a large fund, was recently summoned for a meeting with regulators, along with all other mutual funds that had engaged in short-selling activity. "If I don't come back, look after my wife," his friend told him, handing the manager his home telephone number.

China has unleashed a volley of measures to try to prop up its stock markets <.CSI300> <.SSEC> that have fallen around 40 percent since mid-June, pushing domestic brokerages and fund managers to buy up shares and banning investors with large stakes from selling their holdings for six months. The authorities' meddling has unnerved many investors, leaving them questioning China's commitment to liberalizing its capital markets and the long-term future of the country's stock markets themselves.

Adding to those concerns is the fact that authorities have also been probing investment funds' trading strategies, looking into whether they have been engaging in alleged "malicious" short-selling or market manipulation. On Monday, Bloomberg reported that Li Yifei, the China chairwoman of Man Group Plc <EMG.L>, one of the world's largest hedge funds, had been taken into custody to help with inquiries. Reuters has not independently confirmed the report, while Li's husband has said she is having "normal" discussions with regulators. Man Group shares fell as much as 6 percent on Tuesday following Bloomberg's story.

FOREIGN FUND FEARS

See also:

Nerves on edge as Chinese authorities probe market mayhem
August 31, 2015 - The head of hedge fund manager Man Group Plc's <EMG.L> China business has been taken into custody to help authorities in a probe into recent market volatility, Bloomberg reported on Monday, while separately a local financial reporter confessed on national TV to having spread false information that caused "panic and disorder".

Both are likely to jangle nerves in the financial industry as regulators try to find out who they think was behind China's wild stock market rollercoaster ride in the past three months. Authorities have been investigating possible market manipulation following wild swings in the stock markets, <.CSI300> <.SSEC> which have plunged around 40 percent since mid-June on concerns of a slowing economy and a surprise devaluation of the yuan currency <CNY=CFXS> earlier this month. Officials are probing the financial industry amid allegations of malicious short-selling and other strategies seen as weakening confidence in the market.

Bloomberg, citing a person familiar with the matter, said Li Yifei, Man Group's China chairwoman, was assisting with police inquiries, noting this doesn't mean she faces charges or has done anything wrong. Reuters could not independently confirm the report. Man Group spokeswoman Rosanna Konarzewski declined to comment on the matter, and China's Ministry of Public Security could not immediately be reached for comment outside regular working hours. Li's husband, Wang Chaoyong, told Reuters he had spoken to his wife on Sunday and Monday, and she had told him she was in "highly confidential" meetings. "She said she was in meetings and it's inconvenient for me to contact her," he said by phone, adding he did not know where the meetings were taking place.

Separately, Chinese police are looking into the spreading of rumors about the stock market, as well as other issues such as the fatal explosions at a chemical storage facility in Tianjin. On Monday, Wang Xiaolu, a reporter for the Caijing business magazine, read a confession on national state television, saying he spread false information in his reporting of the stock market that had caused "panic and disorder". "I shouldn't have sought to make a big splash just for the sake of sensationalism," he said. It was not possible to verify whether Wang made his confession freely or under any coercion. State news agency Xinhua said earlier that 197 people in total have been punished in the rumor campaign.

The investigations are likely to unsettle China's investment community, and the report of Li's involvement could leave foreign investors particularly on edge. "Short run, any sane foreign businessman would have pause about doing business in China, given the environment," said Bob Eisenbeis, vice chairman and chief monetary economist at Cumberland Advisors. "Long run, people will not overlook the size of the market and what that offers." Li, a former MTV Networks executive, was appointed Country Chair, China in 2011, according to a page on Man Group's website archived by Google on Aug. 6. The page is not currently accessible. Man Group says on its website it has $78.8 billion of assets under management.

Nerves on edge as Chinese authorities probe market mayhem

 

[g5000]

Rdean said the Chinese were smarter than us and their government was going to prop up their stock market

The Chinese government has been propping up the Shanghai Index, just as the Fed has been propping up the Dow.

Hell, Bernanke even admitted to it, which took all the air out of the room. Bernanke unilaterally decided the Fed's dual mandate of low unemployment and low inflation now has a new third mandate of a rising stock market.