Join institutional investors, analysts and strategists from the world's largest banks: Subscribe today for as little as $7/month
Already have an account? log in
In China, Raging Bull
It was a blockbuster week for Chinese equities. An out-and-out barnburner.
On Friday, mainland shares built on stimulus-inspired gains to close the week more than 15% higher.
The CSI 300 is up 17% from the September 13 lows. The beleaguered blue-chip gauge, which was on track for an unprecedented fourth annual decline, logged 4% or better gains during three separate sessions this week.
As the figure shows, this was the best weekly performance for the index since 2008. It's now higher for 20
China inc a meme stock?
A good time to exit (any remaining positions in Chinese equities). Sometimes it is best not to look a gift horse in the mouth. 🙂
Those MCHI puts. So cheap… Who can resist.
Nearly vertical, what could go wrong?? Hard to stomach major hedgies insinuating real “difference” making this time. With attendant hedging guess they’re willing to assume risk? I can only hope behind the tacit approval they don’t believe actually different this time. One guy, Xi calls the shots. Herd the citizenry around like sheep, crush any whiff of nascent democratic capitalism despite ascension to the contrary. The only thing he really intends has been previously opined: Communism is best for China and MAYBE the world!! His other concomitant beneficent proclamation, his own other worldly magnificent grandiosity.
It sounds like everyone here has already made up their minds that these new measures are guaranteed to fail. “Pushing on a string” and such. Hey, when was that phrase last a common derision? In the USA in 2009-2010. Skeptical as I have been, I’m willing to keep more of an open mind this time. What could go wrong with those “stimie checks”?
“Even if it wasn’t state-buying, some of the bonanza was investors trying to front-run the state. Either way, it’s not real, organic demand. ” But a very common source of buying in Asia. The democratic government of Taiwan is quite open about their stock market intervention. Japan joined the club a few years back when their market was on its back. Well done, by he way.) Singapore is more demure about their buying, but it’s there. Then in the good old USA, it was common to read right wing conspirators breathlessly talking up a mythical Plunge Protection Unit anytime stocks rallied in in the early teens. (There MUST have been something there…. I read about it on the internet!)