Curiouser and Curiouser

paddyrg

A complication with China is that The Party has its fingers in everything, so you're not in a pure market economy, and playing by someone else's agenda. That agenda may not be obvious to our regular market assumptions either.

buglawton

Here we are all trying to take the Chinese stock market seriously and trying to rationalise the mystery 10%/day rise in many of it's stocks.

That stock market is about as mature as that of the Wild West during the gold rush/when the railroads were being built.

Generali

buglawton wrote: »

Here we are all trying to take the Chinese stock market seriously and trying to rationalise the mystery 10%/day rise in many of it's stocks.

That stock market is about as mature as that of the Wild West during the gold rush/when the railroads were being built.

I left a meeting with the head of the Asian Corporate Governance Association about 50 mins ago and he reckons that the whole thing is built on margin trading (effectively borrowing money to trade). It's the result of the clampdown on the shadow banking system lending so much money against property.

This bubble could have a long way to go yet.

chewmylegoff

buglawton wrote: »

Here we are all trying to take the Chinese stock market seriously and trying to rationalise the mystery 10%/day rise in many of it's stocks.

That stock market is about as mature as that of the Wild West during the gold rush/when the railroads were being built.

Are you trying to say you think it is slightly better than AIM?