{"id":9850,"date":"2015-07-09T07:09:31","date_gmt":"2015-07-09T12:09:31","guid":{"rendered":"http:\/\/olduvai.ca\/?p=9850"},"modified":"2015-07-09T07:09:31","modified_gmt":"2015-07-09T12:09:31","slug":"china-soars-most-since-2009-after-government-threatens-short-sellers-with-arrest-global-stocks-surge","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=9850","title":{"rendered":"China Soars Most Since 2009 After Government Threatens Short Sellers With Arrest, Global Stocks Surge"},"content":{"rendered":"<h3 class=\"title\"><a href=\"http:\/\/China Soars Most Since 2009 After Government Threatens Short Sellers With Arrest, Global Stocks Surge\" target=\"_blank\">China Soars Most Since 2009 After Government Threatens Short Sellers With Arrest, Global Stocks Surge<\/a><\/h3>\n<p>Here is a brief sample of some of the measures the Chinese government and the PBOC have unleashed in just the past ten days to prop up the crashing market include:<\/p>\n<ul>\n<li>a ban on major shareholders, corporate executives, directors from selling stock for 6 months<\/li>\n<li>freezing more than half (1400 at last count per Bloomberg) of the listed companies from trading,<\/li>\n<li>blocking fund redemptions, forcing companies to invest in the market,<\/li>\n<li>halting IPOs,<\/li>\n<li>reducing equity transaction fees,<\/li>\n<li>providing daily bailouts to the margin lending authority,<\/li>\n<li>reducing margin requirements,<\/li>\n<li>boosting buybacks<\/li>\n<li>endless propaganda by Beijing Bob.<\/li>\n<\/ul>\n<p>The measures are summarized below.<\/p>\n<p><a href=\"http:\/\/www.zerohedge.com\/sites\/default\/files\/images\/user92183\/imageroot\/2015\/06\/20150707_chinaactions.jpg\"><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/www.zerohedge.com\/sites\/default\/files\/images\/user92183\/imageroot\/2015\/06\/20150707_chinaactions_0.jpg\" alt=\"\" width=\"600\" height=\"318\" \/><\/a><\/p>\n<p>But it wasn&#8217;t until\u00a0<a href=\"http:\/\/www.zerohedge.com\/news\/2015-07-08\/china-crash-protection-costs-hit-record-highs\">last night&#8217;s first official threat\u00a0<\/a>to &#8220;malicious&#8221; (short) sellers that they face charges (i.e., arrest),\u00a0<a href=\"http:\/\/www.weibo.com\/1699432410\/Cqhpg6Bod?from=page_1002061699432410_profile&amp;wvr=6&amp;mod=weibotime&amp;type=comment\">as Xinhua reported yesterday<\/a>:<\/p>\n<blockquote>\n<div class=\"quote_start\">[Ministry of Public Security in conjunction with the recent Commission investigation of malicious short stock and stock index clues ] correspondent was informed on the 9th morning , Vice Minister of Public Security Meng Qingfeng led to the Commission , in conjunction with the recent Commission\u00a0<strong>investigation of malicious short stock and stock index clues show regulatory authorities to the operation of heavy combat illegal activities<\/strong>.<\/div>\n<\/blockquote>\n<p>&nbsp;<\/p>\n<p>&#8230; that the wall of Chinese intervention finally worked. For now.<\/p>\n<p>And since this is all about one thing, the stock, market, it is worth noting that the Shanghai Composite Index had dropped as much as 3.8% to a 4 month low before the news that the cops were going to arrest anyone who used a wrong discount rate in their DCF, when everything suddenly took off,\u00a0<strong>and the SHCOMP closed\u00a0 a &#8220;Dramamine required&#8221; 5.8% higher, the biggest daily increase since March 2009!<\/strong><\/p>\n<p><a href=\"http:\/\/www.zerohedge.com\/sites\/default\/files\/images\/user5\/imageroot\/2015\/06\/shcomp%20intra.jpg\"><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/www.zerohedge.com\/sites\/default\/files\/images\/user5\/imageroot\/2015\/06\/shcomp%20intra_0.jpg\" alt=\"\" width=\"600\" height=\"494\" \/><\/a><\/p>\n<p>&#8220;As China beefs up its efforts to rescue the market, with even the public security ministry involved, market sentiment is recovering slightly from a panicky stage earlier,&#8221; Shenyin Wanguo analyst Qian Qimin says by phone<\/p>\n<p>&#8230;click on the above link to read the rest of the article&#8230;<\/p>\n<div><\/div>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>China Soars Most Since 2009 After Government Threatens Short Sellers With Arrest, Global Stocks Surge Here is a brief sample of some of the measures the Chinese government and the PBOC have unleashed in just the past ten days to prop up the crashing market include: a ban on major shareholders, corporate executives, directors from [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[6036,3756,1719,1626,130,1605,7120,2656,172,3325,4333,184,200,285,6038,7121,366,7122,7123,1464,7077,7124,572,6048,2847,7125,4696,7126,7127,669,4364,5587,7128,7129,819,2773,3892,4789],"class_list":["post-9850","post","type-post","status-publish","format-standard","hentry","category-economics","tag-b","tag-boe","tag-bond","tag-cds","tag-china","tag-consumer-credit","tag-continuing-claims","tag-copper","tag-cpi","tag-creditors","tag-crude","tag-crude-oil","tag-default","tag-eurozone","tag-fixed","tag-gilts","tag-global-economy","tag-greece-headlines","tag-initial-jobless-claims","tag-italy","tag-jim-reid","tag-market-sentiment","tag-nikkei","tag-none","tag-obama-administration","tag-pepsi","tag-portugal","tag-price-action","tag-ransquawk","tag-reality","tag-san-francisco-fed","tag-shenzhen","tag-sovereign-cds","tag-testimony","tag-twitter","tag-volatility","tag-wells-fargo","tag-willem-buiter"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/9850","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=9850"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/9850\/revisions"}],"predecessor-version":[{"id":9851,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/9850\/revisions\/9851"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=9850"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=9850"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=9850"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}