While the new SEC rules apply to all foreign-listed companies, they are specifically aimed at China, which has repeatedly run afoul of efforts by U.S. regulators to monitor the audits of Chinese companies.
"Congress has now decided that Chinese companies listed in the U.S. should not continue to have an effective exemption," Clayton wrote to me. "The audits from these companies must come into compliance" with U.S. law.China's CSI-300, the top 300 stocks in China, was one of the best-performing indexes in the world in the first six weeks of 2021, rising 15% and far outperforming the U.S., Europe, and almost all of Asia.
Other market observers also took note of the enormous trading. Tencent Music, for example, normally trades about 17 million shares a day, but was nearing 300 million at the close of trading today. Ahern's Kraneshares Internet ETF has seen share trading north of 5 million shares a day for the past two days, twice normal trading volume, and is trading 10 million shares today.Pressure is not just coming from U.S. regulators. In November, Chinese regulators stunned investors there by nixing Ant Group's IPO at the last minute.
Adidas, Nike and H&M all dropped midweek as major players in China's social media called for a boycott of the companies over statements they had made months ago on forced labor in the Uyghur autonomous region.
WallStreet 'advisers' and mass media: CNBC, Bloomberg have to be very proud for luring clueless retail 'investors' into the biggest StockMarket BUBBLE in history! This is what they are paid for by big corporations - turning retail investors into bagholders!
I LOST MY VIRGINITY EARLY
Chinese companies should be treated the same way American companies are treated in China.
Is this a recycled story from the Trump era?