Bloombre report today 29 july 2015on stock excahnge bubble in China?

[IMA_FARANG]

This morning there was a report on a "bubble" I the Chinese stock market and a possible bursting of the bubble.

it seems that regulators in China have found 360 firms listed on the Chinese stock market that are overvalued or in some way not compliant with regulations and whose value may be vastly overstated. This information came from Bloomberg market watchers in Hong Kong.

Bloomberg believes the Chinese stock market, which has been growing rapidly in value, may be over valued and the bubble may burst soon if not today.

In fact they suggested that today 29 June 2015 may be the biggest loss of value on the Chinese stock exchange since 1966 as some major firms may be seriously overvalued due to the rapid rise of the Chinese stock market recently.

If the Chinese stock market does tumble this coming week, it could be a big problem for all Asian stock exchanges, including Thailand.

I don't know, I am just repeating what I heard this morning on the Bloomberg news this morning.

Those of you who do follow Chinese stocks, and the SET also what is happening today with them right now?

Any information?

[NeverSure]

China's stocks have indeed lost about 20% of their value in about the last 3 weeks. It is more than a bear; it is a crash.

Many of us have been predicting a crash in the Chinese stock and real estate markets for a year now. China has been in a huge bubble in both areas.

Another thing to watch is banking. China has what's called it's "shadow banking system" whereby about half of all banking including lending is done by this unregulated mob. No one really knows where it stands. What is known about real banks isn't good. Dishonesty abounds and no one can believe China's numbers from anywhere.

For many years "some people" have continued to hype the false idea that the emperor of China has clothes. China is in fact a communist country responsible for feeding and housing the world's second largest population of 1.3 billion souls. Those people are in abject poverty with about 1/2 the annual income of a Thai and about 1/20th the average income of an American. Think about that.

China is the world's beotch, providing cheap labor while manufacturing things invented and perfected elsewhere using processes invented elsewhere. China can't even make good steel so it can make good tools and we all know about that. Chinese stuff is junk. Cheap Chinese junk. If you want quality you have to go to Japan, Germany or the USA.

This may not be the end but rather a wake up call. If China crashes it will be bad for everyone but then "everyone" has been falsely spreading the word that China is the world's Next Big Deal^R for a long time now.

With troubles in Greece and Southern Europe and Thailand and indeed the Eurozone, add this and who knows.

Cheers

Edited June 29, 2015 by NeverSure