Monday, July 27, 2015

CRASH CONTINUES Chinese Stocks Fall 8.5% in Biggest One-Day Drop Since 2007

Overnight, Chinese stocks have plunged more than 8 percent.

The CSI300 index the largest listed companies in Shanghai and Shenzhen fell 8.6 percent to 3,818.73 points, while the Shanghai Composite Index lost 8.5 percent to 3,725.56 points.

More than 1,500 shares listed in Shanghai and Shenzhen fell by more than the 10 percent daily limit, including China Unicom, Bank of Communications and PetroChina.

I have long held the view that China may be vulnerable to perhaps the greatest economic crash in history.

Although, there has been much genuine economic growth, since the abandonment of Mao's central planning economics, in China. China's central bank has manipulated and distorted the economy via massive money printing. It has resulted in ghost apartments, ghost stocks and ghost growth.

The Shanghai stock market over the last three months.


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