China's Stock Market Gets Tired, As Xi Jinping Looks To Be Losing His Housing Battle

Xi Jinping, China's president, says real estate is for housing, not for a savings account. But some provincial leaders are relaxing rules on second and third homes as a way to stimulate the economy without pumping Great Recession-era credit into the market. Photographer: Christophe Morin/Bloomberg photo credit: © 2019 Bloomberg Finance LPIt's been a good run for China's A-shares, the best performing emerging market asset class this year.

Investors are selling out of China's mainland equity markets after a 40% run-up in prices this year. Photographer:Zhu Gang/Bloomberg News. photo credit: BLOOMBERG NEWSThe People's Bank of China recently reaffirmed its aversion to Great Recession-era stimulus, something both Xi Jinping and his economic frontman Li Keqiang have come out against all year. The market largely was not buying it and made the right call as China did indeed flood the zone with new loans.

There is no explicit announcement of bank lending quotas, but Keqiang said during the"Two Sessions" meetings back in March that he wanted government banks to lend more money to small and mid-sized businesses. That seems to have happened even before he made that announcement. "We are going to move our portfolio based on valuation," says Andrew Miller, CIO for emerging market equity at Mondrian Investment Partners.

Xi Jinping once said that “houses are for living in, not speculation.” But local leaders are not seeing it that way.

United States United States Latest News, United States United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Russia Now Best Stock Market After China, But Investors Still ColdRussia stock market has hit an all-time high. But don't thank Robert Mueller for that. Russia, cold hahahaha get it?
Source: Forbes - 🏆 394. / 53 Read more »

U.S. Natural-Gas Market Is Taking Cues From ChinaThe rise of the U.S. as a major exporter of liquefied natural gas has linked the price of gas in Louisiana to the weather in China—adding pressure on already low U.S. prices. The Fallout of the Mueller Report Russiagate TrumpRussia Trump2020 TrumpMueller MuellerReport MuellerRussia MuellerTrump TrumpPutin Democrats DemocratsRussia DemocratsPutin NoamChomsky ChomskyTrump Numbers? Do they count every molecule? I think you want the word 'volume'. “Business is about creating value for a specific group of people.” ― Hendrith Smith
Source: WSJ - 🏆 98. / 63 Read more »