China

[Oldcoin]

Yesterday, the amount of M3 pouring into our markets was extremely high, and I believe it was a Bernanke attempt at
showing investors that we are exempt from what happens in China.

Part of the reason for the huge liquidity injections was the fact that the Shanghai dropped over 6% the previous day and Bernanke
wanted to make sure that our markets were not going to be a China victim. The irony is that this gave encouragement to Chinese
investors, and this is now going to make it harder for Chinese officials to curb the out-of-control speculation.

Below is a number of charts showing how the market initially reacted to China's 6% drop at the open.

http://www.stocktiming.com/Thursday-DailyMarketUpdate.htm

 

[tsptalk]

Did anyone notice China's late sell-off last night? An early rally turned into another 2.65% loss...

 

[tsptalk]

China opened down another 4% tonight (Monday morning their time). They are now down 11% off their recent high (in 3+ days). Now, where's our 10% correction?

 

[Show-me]

Down over 6.38% and falling.

http://finance.yahoo.com/q/bc?s=000001.SS&t=1d

 

[tsptalk]

Now down 7.5%. It will be interesting to see if Japan stays positive when their trading resumes later on. They ended the early session up about 34 points.

 

[ebbnflow]

Apparently, China's raising of stamp duties is working in cooling down their market. That's what we want, right?

 

[James48843]

How about this-

Shanghai dropped to 3697, and then bounced back over 100 points. Now just 4.49% off for the day. And at the same time, Japan Nikkie 300 is UP by .49 percent. Japan just brushed the whole China thing off.

Tom, you asked where our 10% pullback was. It's coming. I don't know when, but it's got to be coming, and soon. Markets just don't go up, up, up like this without a pause to refresh, even in the good times.

You are on target, we are due, and soon, for some kind of pull back, even a partial one of 3% or so.

I'm pulling some off the table today and waiting for the pullback. I smell it in the air.

 

[mayday]

China down 8.26% today. Their efforts to cool their market down is working.

 

[Show-me]

Thought I hear a flushing sound in my sleep last night.

 

[weatherweenie]

China down 8.26% today. Their efforts to cool their market down is working.

Strangely, their tanking didn't do much else to the rest of Asia.

 

[Oldcoin]

Monday, June 4th.

There was finally a decent fear reaction by Chinese investors this morning, but the world markets through the central banks were prepared this time. When China announced an increase in the investment stamp tax last week, central banks reacted with systematic injections of liquidity to stem an sympathetic reaction into other world markets.

The Shanghai Composite dropped 8.26% this morning. Last Wednesday, I mentioned to Advanced subscribers, that if we broke short term support, “then it could drop 500 points for another 12% drop.” This morning’s drop now puts us 4.53% to 5.32% away from its next strong support level. That can be reached in 1 to 2 days now.

This drop will not have the same impact on our markets that the February 27th. Shanghai drop had because our markets are defensively prepared.

The biggest future danger for China is the possibility of social unrest caused by protest of those who lose money in the Shanghai. Signs of this possibility became visible last week when some investors launched a signature campaign
demanding the impeachment of the Minister of Finance.

Thousands of other investors got more out of control and marched to Tiananmen Square with banners saying that the Chinese government wasn’t keeping its promise to them. The Finance Ministry had its served hacked and shut down for hours. This group was much angrier and said that the government “was cheating the public and not being responsible to its people”. Some said that, “the government was relying on making money through increasing tax revenue and that its actions were similar to their actions in taking away peoples' lands."

http://www.stocktiming.com/Monday-DailyMarketUpdate.htm

 

[mayday]

How would you feel if you were taxed more on your investments { like a republican under democratic control}.

 

[ebbnflow]

They're letting the air out of the bubble a little bit at a time. China's gonna have to be careful...it's like baking a souffle...you don't wanna...:notrust:

 

[tsptalk]

This may be getting monotonous, but China was down another 5% in early trading Monday night.

 

[weatherweenie]

Talk about volatility!

Shanghai went from -5.66% to +2.63% intraday!


AP
Chinese Stocks Rebound in Late-Day Rally
Tuesday June 5, 6:44 am ET
By Elaine Kurtenbach, AP Business Writer Chinese Stocks Rebound in Late-Day Rally After Early Losses
SHANGHAI, China (AP) -- Chinese stocks rebounded in volatile trading Tuesday following their sharpest one-day drop in three months as strong buying by institutions offset selling by retail investors. The benchmark Shanghai Composite Index gained 2.6 percent to 3,767.10 after a rollercoaster session that saw the index plunge as much as 7.2 percent earlier in the day. It fell 8.3 percent on Monday -- the benchmark's sharpest decline since an 8.8-percent drop Feb. 27 triggered a global market sell-off.

 

[vectorman]

UPDATE 2-US senators to unveil China currency bill Wednesday

By Doug Palmer

WASHINGTON, June 11 (Reuters) - Four U.S. senators announced plans on Monday to unveil a long-awaited bill aimed at pressuring China to let its currency rise in value more quickly, despite the Bush administration's insistence it has all the tools it needs........


http://yahoo.reuters.com/news/artic...6-11_21-38-23_N11194011&type=comktNews&rpc=44

 

[Scout333]

Environmental concerns. I heard a report driving in to work this morning that there are serious pollution problems in Chinese rivers near large cities such as Xia?. From that city alone they are dumping over one million tons of raw sewage per day into the nearby river. Negative impact on their economy, health of citizens,etc. Seem to be reports of contaminated products such as toothpaste manufactured there and exported to U.S. Any thoughts on long-term impact of these practices on their economy (I -Fund)?:worried:

 

[FundSurfer]

Environmental concerns. I heard a report driving in to work this morning that there are serious pollution problems in Chinese rivers near large cities such as Xia?. From that city alone they are dumping over one million tons of raw sewage per day into the nearby river. Negative impact on their economy, health of citizens,etc. Seem to be reports of contaminated products such as toothpaste manufactured there and exported to U.S. Any thoughts on long-term impact of these practices on their economy (I -Fund)?:worried:

Chinese stocks not a part of the I-fund. Chinese collapse would impact from the standpoint that speculators who loose money in China will have less to spend eleswhere.

 

[Scout333]

Thanks! Good to know.

 

[robo]

Inside the Ring
By Bill Gertz
June 15, 2007


China arming terrorists
New intelligence reveals China is covertly supplying large quantities of small arms and weapons to insurgents in Iraq and the Taliban militia in Afghanistan, through Iran.
U.S. government appeals to China to check some of the arms shipments in advance were met with stonewalling by Beijing, which insisted it knew nothing about the shipments and asked for additional intelligence on the transfers. The ploy has been used in the past by China to hide its arms-proliferation activities from the United States, according to U.S. officials with access to the intelligence reports.
Some arms were sent by aircraft directly from Chinese factories to Afghanistan and included large-caliber sniper rifles, millions of rounds of ammunition, rocket-propelled grenades and components for roadside bombs, as well as other small arms.
The Washington Times reported June 5 that Chinese-made HN-5 anti-aircraft missiles were being used by the Taliban.
According to the officials, the Iranians, in buying the arms, asked Chinese state-run suppliers to expedite the transfers and to remove serial numbers to prevent tracing their origin. China, for its part, offered to transport the weapons in order to prevent the weapons from being interdicted.
The weapons were described as "late-model" arms that have not been seen in the field before and were not left over from Saddam Hussein's rule in Iraq.
U.S. Army specialists suspect the weapons were transferred within the past three months.
The Bush administration has been trying to hide or downplay the intelligence reports to protect its pro-business policies toward China, and to continue to claim that China is helping the United States in the war on terrorism. U.S. officials have openly criticized Iran for the arms transfers but so far there has been no mention that China is a main supplier.
Defense Secretary Robert M. Gates said Wednesday that the flow of Iranian arms to Afghanistan is "fairly substantial" and that it is likely taking place with the help of the Iranian government.
Defense officials are upset that Chinese weapons are being used to kill Americans. "Americans are being killed by Chinese-supplied weapons, with the full knowledge and understanding of Beijing where these weapons are going," one official said.
The arms shipments show that the idea that China is helping the United States in the war on terrorism is "utter nonsense," the official said.


http://www.washingtontimes.com/national/inring.htm