- May 17, 2007
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More interesting reading: http://www.ft.com/cms/s/0/2f11ebdc-4ef3-11e5-b029-b9d50a74fd14.html
Well, that link didn't work like I thought it would. The import of the article is that the Chinese government was buying shares to soften the down turn, but now they aren't. Instead, they are looking around to see who profited from the situation. You can bet those blamed are not those that created and used the problem. They are seeking nefarious "foreign influences" to place the blame upon.
My take on it:
In China speak, some investors borrowed cheap US dollars the fed put into the system, and then used those dollars to invest in stock market. This created a bubble. Investors then got out of the market before prices fell. Prices were propped up temporarily by government buying. Then they fell after the miscreants go out of the market.
It will all be blamed on foreign banks and the US fed.
He who smells it has it under him.
Well, that link didn't work like I thought it would. The import of the article is that the Chinese government was buying shares to soften the down turn, but now they aren't. Instead, they are looking around to see who profited from the situation. You can bet those blamed are not those that created and used the problem. They are seeking nefarious "foreign influences" to place the blame upon.
My take on it:
In China speak, some investors borrowed cheap US dollars the fed put into the system, and then used those dollars to invest in stock market. This created a bubble. Investors then got out of the market before prices fell. Prices were propped up temporarily by government buying. Then they fell after the miscreants go out of the market.
It will all be blamed on foreign banks and the US fed.
He who smells it has it under him.
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