Category Archives: A share

The blind faith in China stock market

Today is the Children’s Day (June 1st) in China.  Yesterday, a shopping mall displayed couple dolls in the front gate to attract the kids, but the management team there would not expect it will create a drama which floods China’s investors community.   Why?  Because these dolls include two bears, and more importantly, those bears… Read More »

Watch out, a big policy change looms in China!

Overnight the People’s Daily published an interview with “anonymous authorities” on the topics of China economy.  It’s a very important article as the “anonymous authorities” sends strong policy signals  The interview sends strong signals that China policy will shift from its aggressive easing in Q1 to a conservative position which focus on structural reforms. People’s… Read More »

The bubble in China domestic commodity market

We just see another bubble building up in China, aka the domestic commodity market.  On April 21st, led by bellwether Rebar Steel futures, other 7 commodities were lifted to the up limit (5% to 7%), including iron ore, HRC steel, met coal, asphalt, methanol, cotton, and egg (yes, it’s egg! No one has idea why… Read More »

The bugs of A share’s circuit breaks

It’s the second market halt in China A Share within a week, and finally CSRC decides to “suspend” the circuit breakers mechanism.  The Commission still claims “it will conscientiously sum up experiences and lessons and solicit opinions from all sides, and constantly improve the mechanism.”  However, in China’s official language, it means the mechanism is… Read More »

China A share crashes and here’s why

Well, I don’t expect my first post to be a story about a big sell-off in the China A share market.  But anyway, the reality is brutal.  All the major A share markets closed early today as the blue chip index, CSI 300 Index, fell more than 7% and triggered the stock market circuit breaker… Read More »