Just had to put this up from Zero Hedge:
China Bans Use Of Terms “Equity Disaster” And “Rescue The Market”
…And so, with every attempt to manipulate the (Chinese) market higher falling flat in the face of selling pressure from the hairdresser/ farmer/ banana vendor day trading crowd (which has now thrown in the towel on the whole “it’s easier than farm work” theory and now just wants to break even and head for the hills) the only thing left for China to do is “fix” the narrative.
In other words, when banning selling doesn’t work, the logical next step is to ban talking about selling…
…So apparently, Beijing will now prevent journalists from accidentally jawboning the market lower so that Party mouthpiece media outlets are free to jawbone the market higher.
Needless to say, we doubt if this hail Mary attempt to
rescue the marketwill do anything at all to save China from its homemade equity disaster.
Indeed. I haven’t paid too much attention to the market slide in China because I just figured the Chinese government would order stocks to go higher – telling the money bags in China that they’d better buy or else, ya dig? But if China’s market has got a huge number of small traders who are now getting burned…well, you can shoot a dozen bankers who don’t cooperate: its a much more difficult prospect to shoot 100,000 small investors who are bailing out.
There is one thing I do know about markets – when average folks start borrowing money to invest in it because it will always go higher, then it is crash time. We’ll see how this plays out – but China has already lost $3 trillion in stock value since June…ain’t looking too pretty.
Our own stock market is going through what could also be some death throws. Just today the DJIA fell 250 points by 11:30 and has gained it all back in 2-1/2 hours. Another interesting development is the price of oil falling around 20% since the third week of June. No small part of the reason for that is the economic situation in China.
I’m still counting on central banks to some how print up enough money to bridge this gap…but, eventually, they won’t be able to. Maybe its this time, maybe its next time…but as Glen Reynolds points out: debts which cannot be repaid, won’t.
I am still laughing about the Greeks who voted against austerity measures while they slip into the financial abyss. Entitlement dependency is as bad as drug dependency.
We are all familiar with the illegal immigrant that killed that pretty girl in San Francisco – thanks to liberal “sanctuary” policies. Well, an innocent, pretty white girl was shot and killed by a black assailant in LA on Saturday.
When will white people start to riot?
Just terrible – sounds to me like a gang initiation killing…someone had to prove he was a killer and so just picked the first person who came along.
I think if all the white people riot, loot stores, and burn buildings we will get some sympathetic coverage from the MSM, right? White Lives Matter !!!