TB
The big selloff in China happened because the moratorium on the big funds selling down expired Thursday.
The Chinese still have rules on when you can buy and sell. Eventually they will have to allow the funds to sell off and they will.
It is obvious given the selloff after the expiry.
Watch and wait is my plan. It is all hinging on China.
Isnt it amazing for so long the world markets have hinged on the US. Now the power has shifted to China and China alone.
There will be bigger selloffs in China. China can collapse the worlds markets if they so chose.
Hardly Free With Circuit Breakers Gone
Adam Haigh adhaigh
January 8, 2016 — 10:40 AM AEST
A 10 percent daily limit on single stock moves and a rule preventing investors from buying and selling the same shares in a day remain in force. Volume in what was once the world’s most active index futures market is minimal after authorities curtailed trading amid a summer rout, making it more difficult to implement hedging strategies. Officials unveiled curbs Thursday on share sales by major stockholders just a day before an existing ban was due to expire. And the activity of foreign investors is limited by quotas, given either to asset managers or to users of the Hong Kong-Shanghai exchange link.
http://www.bloomberg.com/news/artic...ket-is-hardly-free-with-circuit-breakers-gone
