Shanghai’s back–stocks plunge 6.4% overnight
Overnight the Shanghai Composite Index plunged 6.4% on fears that the central bank was looking to tighten liquidity and that government leaders were thinking about policies to reduce speculation
Happy talk from central banks rallies shares
In anticipation of a weaker yen and central bank intervention, bad news on the Japanese economy produced a huge rally in Tokyo with the Nikkei 225 index soaring 7.16% on Monday.
Alibaba is both an e-commerce giant and a vehicle for trading China
To subscribe to JAM you need to fill in some details below including, ahem, some info on how you'll pay us. A subscription is $199 (although if you're subscribing with one of our special offers it will be lower) for a year for ongoing and continuing access to the...Traders, so far, not willing to go all in on relief rally
The Standard & Poor’s 500 index was up up 0.94% as of noon New York time. The Dow was ahead 1.23%. But that’s not a very big move considering how the indexes have been pounded recently
Russell 2000 slips into bear market; NASDAQ, S&P 500 and Dow all in correction.
To subscribe to JAM you need to fill in some details below including, ahem, some info on how you'll pay us. A subscription is $199 (although if you're subscribing with one of our special offers it will be lower) for a year for ongoing and continuing access to the...People’s Bank moves to stabilize yuan; Shanghai market holds 3000
China’s Shanghai market crept to a small gain–0.2% on the Shanghai Composite Index–as the People’s Bank intervened repeatedly to support the yuan in the offshore currency market.
Chinese regulators to suspend Shanghai stock circuit breakers as of tomorrow January 8
The new circuit breakers that were supposed to damp market volatility in Shanghai have lasted less than a week. The mechanism, introduced on Monday, January 4, will be suspended tomorrow January 8
China fears again–but this time it’s not (mostly) the economy
The 2.6% drop in the Shanghai Composite Index, the biggest drop since November 27, looks like it was triggered worries by about the end of a six-month ban on stock sales by shareholders with stakes of 5% or more.
Today bad news out of China on the economy is bad news for stocks in Shanghai
Why the shift in market reaction? One possibility is that it’s arbitrary and a reflection of a trendless market. On the other hand, there’s the possibility that it shows an increasing skepticism about the power of central banks (and governments) to guide economies to higher growth.
China gives global stocks a break by going on a two-day holiday
Yesterday and today, I think it was the impending holiday closure that prevented really, really bad news on the Chinese economy from turning into another selling spree. The official Purchasing Managers Index for the manufacturing sector fell to 49.7 in August from 50 in July. Any reading below 50 indicates that the sector or the economy is contracting. The August read of 49.7 is the first time the index has been below 50 since February
Beijing is still putting cash into Shanghai stocks but only after 2 p.m. and only into the biggest of big caps
Today it’s clear that that the government’s new policy of no direct purchases really means no direct buying for most of the day and then direct buying of shares of only the biggest companies on the Shanghai exchange in the last hour or two of trading.
Chinese regulators change course again–now it’s arrests to stop China’s stock market bear
A week after China’s financial market regulators sent the Shanghai and Shenzhen markets tumbling by announcing that they were ending their direct buying of shares on those exchanges, and days after those same regulators sent shares climbing again by announcing that they would reverse that decision and resume direct purchases, today the Chinese government has indeed decided to end direct share purchases.
