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China halted trading again after hitting the 7% decline

Posted on 1/6/16 at 10:39 pm
Posted by TigerTatorTots
The Safeshore
Member since Jul 2009
80781 posts
Posted on 1/6/16 at 10:39 pm
This happened a couple days ago and yet again. This time minutes after the open in China. US futures already down 1%. Tomorrow may get interesting.
Posted by nelatf
NELA
Member since Jan 2011
2296 posts
Posted on 1/6/16 at 10:54 pm to
Good




Goooooood


Ready to make some purchases that will let my kids be rich with dividend income.
Posted by matthew25
Member since Jun 2012
9425 posts
Posted on 1/6/16 at 10:56 pm to
When China sneezes, the U.S. markets go nuts.

I am trying to find an upside on this. What it the money from the rest of the world were to be invested in the stable (cross fingers) U.S. stock markets?
Posted by RebelOP
Misty Mountain Top
Member since Jun 2013
12478 posts
Posted on 1/6/16 at 11:09 pm to
They're trying to divide by zero. It's China, they will find a way....
Posted by CajunTiger92
Member since Dec 2007
2821 posts
Posted on 1/7/16 at 3:19 am to
quote:

Tomorrow may get interesting.



I would say so. Dow Futures are down 400ish at the moment.
Posted by TxTiger82
Member since Sep 2004
33940 posts
Posted on 1/7/16 at 3:43 am to
quote:

When China sneezes, the U.S. markets go nuts.


Actually the Chinese market is quite volatile on a normal basis, and the U.S. market is quite resilient on a normal basis. What is happening in China is extreme, to say the least. No market is immune from a plunge of this sort in one of the world's largest economies.
Posted by TenTex
Member since Jan 2008
15949 posts
Posted on 1/7/16 at 6:48 am to
It's finally happening. They will crash harder than we did during our financial crisis. Their population is heavily invested and oversold in real estate and stocks. We could see massive riots and the overthrow of their government this year. It's gonna get really bad for them and affect all world economies. We are fortunate our economy is much stronger today to handle this.
Posted by bayoubengals88
LA
Member since Sep 2007
18946 posts
Posted on 1/7/16 at 6:51 am to
Their population? Only about 5% of their population is invested right?
Posted by TenTex
Member since Jan 2008
15949 posts
Posted on 1/7/16 at 6:56 am to
This affects their whole population. All of this came out a few years back when their slow down started. There were quite a few people in China interviewed about this and they want government change. It's very corrupt and this mess cannot be hidden and contained any longer. Our biggest concern is the drop of oil to the low twenties. If a state or city economy is dependent on oil they will get hit hard.
This post was edited on 1/7/16 at 7:00 am
Posted by Shepherd88
Member since Dec 2013
4590 posts
Posted on 1/7/16 at 8:42 am to
And at the same time the drop in oil and commoditities is the greatest tax cut the middle class has ever seen.
Posted by LSURussian
Member since Feb 2005
126962 posts
Posted on 1/7/16 at 8:49 am to
quote:

and oversold in real estate and stocks.
Overbought, not oversold.

Can we trust the rest of your analysis??
Posted by LSU1NSEC
Member since Sep 2007
17243 posts
Posted on 1/7/16 at 12:16 pm to
China has removed the "circuit breakers" in their stock market today. Tomorrow might be real interesting. A S&P500 move to 1880 area wouldn't surprise me tomorrow.
Posted by LSUneaux
NOLA
Member since Mar 2014
4490 posts
Posted on 1/7/16 at 12:23 pm to
So basically by removing the Circuit breakers China is allowing their market to freefall more than 7% in the future. Right?
Posted by LSU1NSEC
Member since Sep 2007
17243 posts
Posted on 1/7/16 at 12:27 pm to
Yes, unless they're not telling the truth about that. Should be able to tell tonight.


ETA

LINK
This post was edited on 1/7/16 at 12:30 pm
Posted by TheWalrus
Member since Dec 2012
40566 posts
Posted on 1/7/16 at 9:14 pm to
I'm waiting on a job from a company that exports soybeans to China. Just my luck for the Chinese economy to crash right when I could have been hired. shite
Posted by Teddy Ruxpin
Member since Oct 2006
39584 posts
Posted on 1/7/16 at 9:40 pm to
quote:

I'm waiting on a job from a company that exports soybeans to China. Just my luck for the Chinese economy to crash right when I could have been hired. shite



Could always look at it the other way.

You could have left your job for this job, worked only a few months, then got canned and left in a lurch.
Posted by TigerFanatic99
South Bend, Indiana
Member since Jan 2007
27615 posts
Posted on 1/8/16 at 6:19 am to
Anyone see how China performed last night?
Posted by b-rab2
N. Louisiana
Member since Dec 2005
12577 posts
Posted on 1/8/16 at 6:58 am to
Up
Posted by Omada
Member since Jun 2015
695 posts
Posted on 1/8/16 at 7:01 am to
Yes. They started out +2.5% in premarket, dropped to -1.5% 20 minutes after the market opened, then reversed hard to get as high as +3% or so before closing +2%.

What I got from all that was that the CCP removed the circuit breakers to give them time to react and started pouring money into the market once their index dropped to 3250. That's what I think happened anyway.
Posted by TigerFanatic99
South Bend, Indiana
Member since Jan 2007
27615 posts
Posted on 1/8/16 at 8:20 am to
Thanks. I knew they said they were going to remove the breaker to let the market work, but didn't see the results. Nice to see the sky didn't fall again. Hopefully the US market respond similarly. When's the last time we have a solid week this bad without a bounce back day about now.
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