The Chinese market bubble

[TreasureHunter]

Has that eerie "asset bubble phases graph"...

 

[-j-p-shmorgan]

I thought it was going to the moon a month ago....I really did. lol

 

[TreasureHunter]

^ Maybe that was "the Moon". And in 2011 with gold too!

 

[-j-p-shmorgan]

^ Maybe that was "the Moon". And in 2011 with gold too!

Speaking of gold, might as well go ahead and hijack this thread.
The other day I read "fair market value is around $800".
It was some article asking the bankers about gold futures.
Take that with a grain of salt. lol

 

[TreasureHunter]

^ What is "fair market value"?

 

[-j-p-shmorgan]

^ What is "fair market value"?

We've been heading there since 2011. Guess we'll see. lol

 

[thatguy]

Is that a stir of value

 

[Peter]

Heading for $2000aud more likely

 

[TreasureHunter]

We'll see what happens to US interest rates in 2016...

 

[errol43]

Chinese market only dropped 1% today.. I wonder why? when Experts predicted 10%.

Maybe the Chinese Government had something to do with it.

Regards Errol 43

 

[JulieW]

For the first half an hour after China opened, things looked bleak: after opening down 5%, the Shanghai Composite staged a quick relief rally, then tumbled again. And then, just around 10pm Eastern, we saw a coordinated central bank intervention stepping in to give the flailing PBOC a helping hand, driven by the BOJ but also involving NY Fed members, that sent the USDJPY soaring which in turn dragged ES and most risk assets up with it.

And while Shanghai did end up closing down -1.7%, with Shenzhen 2.2% lower at the close, the final outcome was far better than what could have been, with the result being that S&P futures have gone back to doing their thing, and have wiped out all of yesterday's losses in the levitating, zero volume, overnight session which has long become a favorite setting for central banks buying E-Minis.

http://www.zerohedge.com/news/2015-...are-back-control-china-rollercoaster-ends-red

 

[willrocks]

They're afraid of the market moving below the 200 day moving average. Hence the intervention.

 

[phrenzy]

Heading for $2000aud more likely

I think they are the same prediction. $800usd will be $2000aud.

 

[errol43]

Alan Kohler reported that the Chinese government pumped $85 billion into the market and that is why it only dropped 1.5%.

QE Chinese style.

Regards Errol 43

 

[-j-p-shmorgan]

Alan Kohler reported that the Chinese government pumped $85 billion into the market and that is why it only dropped 1.5%.

QE Chinese style.

Regards Errol 43

Expecting China to sell some gold?? :lol:

 

[-j-p-shmorgan]

http://www.theguardian.com/world/20...res-fail-to-halt-chinas-stock-market-nosedive

Summary: China still in crash mode

 

[Silverman99]

Alan Kohler reported that the Chinese government pumped $85 billion into the market and that is why it only dropped 1.5%.

QE Chinese style.

Regards Errol 43

Totally agree and if it wasn't for the government intervention of propping up the market it would have fallen the 10% predicted

As you rightly say rather than printing money (QE) to prop up the economy it's their way of keeping it on track by falsely interfering

 

[willrocks]

Totally agree and if it wasn't for the government intervention of propping up the market it would have fallen the 10% predicted

Without the intervention measures ($85 billion, short position ban, and a ban on selling), the market would have collapsed. Not just a '10%' drop.

 

[-j-p-shmorgan]

Totally agree and if it wasn't for the government intervention of propping up the market it would have fallen the 10% predicted

Without the intervention measures ($85 billion, short position ban, and a ban on selling), the market would have collapsed. Not just a '10%' drop.

Sad. Funny thing is they blame the USA for their fail. :lol:

 

[phrenzy]

At this rate the PRC government will own all the shares available and they'll be back to be being centrally planned state owned communists in 6 months.