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Chinese Stock Markets Are in the Middle of an ‘Unprecedented’ Slide

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It is not easy to judge the exchange rate of RMB and USD
appreciated RMB will reduce the competitiveness of most Made in China products.
Most Chinese products are low price low profit.

Also China is working on high tech stuffs which is not price sensitive.
If China success of transferring to a high tech country, the value of RMB will further appreciate

It will be a dynamic balancing

I believe the yuan is still kept artificially low by theChinese gov. It will continue to appreciate against USD. Because of economic fundamentals.

If that happens it would further compound the problem as exports would become noncompetitive and exports are one of the major things propping up Chinese economy. To be fair to Chinese they are stressing on increasing share to be provided by domestic consumption but as things stands now if Yuan appreciates its gonna be a problem for Chinese.

So Yuan won't appreciate :)
 
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In China the problem of economy is how fast it grows..
If there is an economy crisis outside, the economy will only slow down.
It never goes downwards...

In regards to China, slowdown is bad. Slowdown means production will decrease, exports will be affected.

In the world of profits and dividends, my friend, that is bad.
 
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Slowdown only means more parts of the country is developed.
There is less room for development.
Also China is working on the high tech stuff, rather than low tech low profit stuff.
reducing some of the non-important export will not hurt China
China is a giant country

In regards to China, slowdown is bad. Slowdown means production will decrease, exports will be affected.

In the world of profits and dividends, my friend, that is bad.
 
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Foreign hot money will die in China stock market, the CCP get ur money via China stock crash... the money into the market after 4000 point, all no chance to escape ... but most Chinese stock players started from 2000 point, still have benefits left ... as far as i said, this hot game finished, China stock will return 3000 point...foreign hot money leave in China now.

Yes, more Chinese stock players started at very low prices.

Me for example, I bought at 10yuan per share, sold at 33yuan, now it's 21yuan.

So, most people actually bought this company below 20yuan, even now still profitable.
Only the secret agencies and immature newbies bought at more than 25yuan, even at 30yuan.

And in China, most ordinary family never buy shares with leverage.

Ok, u may not earn much money, but u also don't lose much. Many Chinese like me earn some money more or less. Some of my friends are not happy cause they didn't sell their shares at the summit, but mostly they haven't lost any, cause they all bought their shares months ago.

Who should be blamed? Who is the biggest loser?
Sorry, not us.
 
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BBC reported that some chinese companies hyped stock value which is even 700 times than actual companies assets !
 
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We will see next week. Big week next week for Chinese stock market. If China recovers next week, the past 3 weeks would have been a blip. China has the potential to recover all its losses.

If Chinese stock market continues to make losses, the haters will have a party.
If Chinese stock market recovers, the haters will disappear.
 
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Chinese stock market has lost £1.5 trillion in the last three weeks - Business News - Business - The Independent

Chinese stock market was over $10 trillion.

China lost $2.7 trillion.

But overall value of Chinese stock market is still around $7 trillion. Thats more than double India's stock market.

China nearly lost the total value of Indian stock market. But still have $7 trillion left.
Just goes to show how insignificant India truly is.

3.35 trillion dollar indian insignificant stock markets !
 
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Considering China just lost nearly $3 trillion in value (size of Indian stock market) but still valued at $7 trillion shows India is a small player.

If 3.35 trillion is smaller then i didn't think a 7 billion figure is big either.
 
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3.35 trillion dollar indian insignificant stock markets !
Considering China just lost nearly $3 trillion in value (size of Indian stock market) but still valued at $7 trillion shows India is a small player.
If 3.35 trillion is smaller then i didn't think a 7 billion figure is big either.
Why don't we we wait for 10 more days, when both markets will have equal market cap and then continue with the argument.
Chinese Bhaiyya 12 months back both markets used to have almost similar Market Cap:bunny::bunny::bunny:

We will see next week. Big week next week for Chinese stock market. If China recovers next week, the past 3 weeks would have been a blip. China has the potential to recover all its losses.

If Chinese stock market continues to make losses, the haters will have a party.
If Chinese stock market recovers, the haters will disappear.
Run for cover Cut your Long positions. Your market looks like going back to where it started from one year back :coffee:
 
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You are right on stock market to an extent. Stock markets are where stocks are bought and sold for a price. The price is set by the demand for the particular stock from the buyers.

IPO are issued in primary markets by the company. General public and financial institutions can buy them. IPO are not brought in secondary market.

Just because you are buying an IPO doesn’t mean they are cheaper, but generally IPO are cheaper than when they are traded as share in secondary market.

If 1 million shares are issued and if the ‘owner’ owns .5 million and public own .5 million at $ 20. The company as a whole gets $ 20 million. There is no more ‘owner’ in a public company. Anybody who owns a share is the ‘owner’ of the company and they are called shareholders.

Once the IPO is complete, and the shares are traded in secondary markets, then company doesn’t get any money from the price increase. If C buys a share for $ 30 from B, the $10 is the profit that B gets from selling the stock.

If price of the share fells to $10, and C sells the share to D then C lost $20.
IPO or Secondary market, it is not important, just the wealth transfer market through Share.

From you comment, can say, the wealth which C lost transfered to Company and B, Company and B get it, but not disappear?
 
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We will see next week. Big week next week for Chinese stock market. If China recovers next week, the past 3 weeks would have been a blip. China has the potential to recover all its losses.

If Chinese stock market continues to make losses, the haters will have a party.
If Chinese stock market recovers, the haters will disappear.

My intuition is that it will eventually fall to between 2000~2500, then the cycle will start anew. That's pretty much how most of stock markets performs.

Oh, I would watch NYSE too. I wouldn't be surprised if it took a dive too within two years.
 
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