The blind faith in China stock market

By | June 1, 2016

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 face the building of CSRC (China Securities Regulatory Commission).

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This picture is widespread in China’s social media such as Wechat and Weibo.  People make fun of it and deem “it’s a strong indicator to suggest the A share is in a bear market”.  But, the most funny thing comes later.  It’s rumor that CSRC called the shopping mall and asked them to turn those bears to other direction.  The shopping mall apparently listened to CSRC and turn the bears to another direction, but unfortunately then the bears point to the building of another financial institution: Bank of Communications.  Then the shopping mall got a complaint call from the bank!  Well, so what the shopping mall should do?  In this morning, the mall replaces the bears with monkeys (this year is the year of Monkey in China).  The bears are moved to the base floor in the mall, where he has no chance to face any financial institutions 🙂

MONKEY

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As we all know Monkey like to jump upside down, so maybe that indicates the A share market will be very volatile this year?  Who knows.  Ironically, the China A share made a huge gain (3%) yesterday before the bears are replaced.  A broker, CLSA, publishes a Feng Shui report every year.  That tells you faith and believe have a huge market in the China investors market.

3 thoughts on “The blind faith in China stock market

  1. 룸싸롱

    Hey! I’m at work surfing around your blog from my new apple iphone! Just wanted to say I love reading through your blog and look forward to all your posts! Keep up the superb work!

    Reply
  2. 룸사롱

    One thing I have actually noticed is always that there are plenty of misconceptions regarding the banking institutions intentions when talking about property foreclosures. One fantasy in particular is the fact the bank prefers to have your house. The financial institution wants your hard earned dollars, not your property. They want the funds they gave you having interest. Avoiding the bank will only draw a foreclosed realization. Thanks for your publication.

    Reply

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