China's stock market dives

[Coventina]

Source: Calgary Herald

China's middle-class moms and blue-collar pensioners were among the world's most avid and successful investors last year. Now their record is one of lost fortunes, broken families and protests.

China's stock market is down nearly two-thirds in 11 months and the anger of millions of ordinary citizens has unnerved the country's stability-obsessed government.

Beijing launched an unprecedented rescue package that drove most stocks up by the maximum-allowed 10 per cent on Friday.

Yet amateur investors have been badly burned and may think twice before venturing back into the casino-like market.



Read more: http://www.canada.com/calgaryherald/news/calgarybusiness/story.html?id=c255a48d-ff37-47ae-9447-f2f2164c48f8

[Algorem]

1. Pump it up with melamine.

[WriteDown]

4. Awesome n/t

[lostnotforgotten]

2. Naomi Klein "The Shock Doctrine"

http://blip.tv/file/521421

[Peregrine Took]

6. This is great. Thanks for posting. n/t

[ohio2007]

11. Sounds like congress and senate activities going on today

run new policy through in a surge of activity behind closed doors and hidden in the details of fine print

[dixiegrrrrl]

3. Judges rated the dive an overall 7

top points for speed
low points for form
no points for originality

[zbdent]

5. Does this mean we'll get ultra cheap products from China? Oh ... wait ...

[varun]

7. Chinese are paying for American excesses

As Chinese invest less and less in stocks, Americans will have a hard time getting loans from China.

Good for both of them.

[ohio2007]

9. Africans are paying for Chinese colonialism

but since they are a developing country, its safe to look the other way knowing things will get better under china's colonial foreign policy
right?

How China has created a new slave empire in Africa

snip
These poor, hopeless, angry people exist by grubbing for scraps of cobalt and copper ore in the filth and dust of abandoned copper mines in Congo, sinking perilous 80ft shafts by hand, washing their finds in cholera-infected streams full of human filth, then pushing enormous two-hundredweight loads uphill on ancient bicycles to the nearby town of Likasi where middlemen buy them to sell on, mainly to Chinese businessmen hungry for these vital metals.
To see them, as they plod miserably past, is to be reminded of pictures of unemployed miners in Thirties Britain, stumbling home in the drizzle with sacks of coal scraps gleaned from spoil heaps.
Except that here the unsparing heat makes the labour five times as hard, and the conditions of work and life are worse by far than any known in England since the 18th Century.


Peking power: A Chinese supervisor cajoles local workers as they dig a trench in Kabwe, Zambia

snip
It is crude rapacity, but to Africans and many of their leaders it is better than the alternative, which is slow starvation.


The Congolese risk their lives digging through mountains of mining waste looking for scraps of metal ore
snip
http://www.dailymail.co.uk/news/worldnews/article-1063198/PETER-HITCHENS-How-China-created-new-slave-empire-Africa.html

China will have to crack the whip if profits from thier american interests fall.
Nothing to see here. At least the Euro masters are gone from africa!
:sarcasm:

[amandabeech]

10. If the Chinese are investing less in stocks which are equities,

the Chinese may put more money in banks.

The banks may loan out the money or it may use the money to purchase more treasuries.

I don't see this as such a bad deal.

Money paid directly to companies in a public offering helps the companies, and might help Chinese banks and nationalized industries which wouled free up money for loans and investments from the Chinese government.

However, much stock market activitiy consists of me, not the issuer, selling stock to you, not back to the issuer. The two of us hope to benefit from the trade, but the issuer only benefits if the stock trades up and the issuer is about to make some sort of offering of stock or bonds.

I don't get your point.

[TomClash]

8. I feel really, really, really bad

:bounce: :woohoo: :applause: :patriot:

[Plucketeer]

12. I'm with you!

Poor China - tying it's hope to the very carcass it created. It's just about stipped the bones bare and stands to be infected from eating off the fetid corpse. How fitting. :nopity:

[wildflower]

13. Wasn't the bailout supposed to prevent a drop in Asian markets?

At least that is one of the justifications I heard.

[Doctor Cynic]

14. The market has been falling since LAST OCTOBER...

It was just a huge speculative bubble that had to go.

http://finance.yahoo.com/echarts?s=000001.SS#chart5:symbol=000001.ss;range=5y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off

[TBF]

15. Maybe they should do a $700B bailout too. Let's ask Warren Buffet what he thinks.

:sarcasm:

[Name removed]

16. Deleted sub-thread

Sub-thread removed by moderator. Click here to review the message board rules.

[KakistocracyHater]

17. Will the Chinese gov

confiscate the factories wealthy Waltons & others made in China? We do owe them some money, so I hear.:sarcasm: