Reading Time: 2 minutes There are lots of talk about Chinese A shares market these days, both because of the big drop lately, and because of the in-action of the goverment. You can read the two Chinese articles (one supports inaction, another cries for goverment action), if you know Chinese. I don’t want to get into the debate of… Continue reading Show me the money: Chinese A share
Reading Time: < 1 minute (Jan 31) Read this piece from Shui Pi, a reknown Chinese stock columnist. Quote a paragraph here: 统计表明，2007年中国资本市场融资再融资的规模近8000亿，而印花税为2005亿，两者相加近10000亿，相当于流动市值的十分之一。这笔钱是从市场中拿走的，基本上不可再生。如果2008年的主板融资规模维持不变，那么再加预期中的创业板的融资规模和大非解禁的资金数量，增量资金的需求量就是一个天文数字。2008年的股市有那么乐观吗？He is saying, the transaction cost plus the new IPO last year totaled RMB 1 trillion, which is about 10% of the total market float. (Original) After recent brutal selling of Chinese domestic market, it appears some “blue… Continue reading Some Chinese stocks look cheap
Reading Time: < 1 minute Yesterday (Monday Oct 22 Beijing time) I was wondering why the Citic Securities 600030 stock did not trade in Shanghai: the official reason is CS expected to announce some news. I thought about the Bear Stern (NYSE: BSC) thing, and my guess was right. Here is the news this morning (Oct 23), in Chinese and… Continue reading Citic Securities tied up with Bear Stern
Reading Time: 2 minutes I felt this baby (600030.SS) was being thrown out of bath tub when the Shanghai Composite Index dropped from 4300 to 3600, amid the raise of stamp tax. Logic here was the raise of stamp tax will reduce stock trading, which will reduce Citic’s business from trading side.