Quite a bit happened in the 67 hours since the market closed Friday and reopened in China to help support stocks:
CSRC spokesman Chang Depeng said China supports overseas-listed companies to participate in M&A of A-share listed companies.
President Xi Jinping vowed “unwavering” support for non-state firms, while the country’s stock exchanges committed to help manage share-pledge risks.
China also released its widely expected plan to cut personal income taxes after data showed the nation’s economy grew at the slowest pace since 2009.
PBOC adviser Ma Jun expects policy measures will support the market, and the nation’s central bank strengthened the yuan fixing by most since Sept. 21.
There was also a bullish Goldman report that sent securities firms in both Hong Kong and the mainland surging.
We saw the first evidence that the Chinese administration is aware of the decline in the stock market and willing to do something about it last week and the above factors are a further iteration of that. That has at least provided a catalyst for a reversion back towards the meanClick HERE to subscribe to Fuller Treacy Money Back to top