Posted on 07/08/2015 6:14:46 AM PDT by Enlightened1
Nearly $3trillion wiped off Chinese stock markets in just the last few weeks
Government and investors launched campaign to prop up tumbling shares
Experts draw parallels with the credit booms that led up to the 1929 crash
Analyst: 'I've never seen this kind of slump before. Don't think anyone has'
China's tumbling stock markets plunged even further today, intensifying fears the country was tail-spinning towards the biggest financial disaster since the 1929 Wall Street crash.
Almost $3trillion (£2trn) – more than the entire economic output of Brazil – has been wiped out since markets went into reverse just a few weeks ago, posing a bigger headache for many global investors than even the Greek debt crisis.
China's government, regulators and financial institutions are now waging a concerted campaign to prop up the nation's stock markets – a move that failed spectacularly in the 1929 crash that triggered the Great Depression.
The plunge in its previously booming stock markets, which had more than doubled in the year to mid-June, is a major problem for President Xi Jinping and China's top leaders, who are already grappling with slowing growth in the world's second largest economy and another bursting bubble.
(Excerpt) Read more at dailymail.co.uk ...
Bonds mature all the time, its the way it works.
Gee. I hope China doesn’t start demanding the real estate we’ve been using as collateral.
They have no lack of foreign exchange. They can buy whatever goods they need from other countries.
Their problem is their internal, yuan-denominated economy.
If China collapses(good thing) and they have to go back to old style communism ( poor babies ) then Rubber Maid will have reopen factories in the USA. Not a bad thing.
LOL. They can demand all they want.
Can they do that?
Doesn’t seem right that an investor can claim all future gains that instant. Unless, of course, US has defaulted.
However, China might use it as leverage in the world banking system.
It’s not a good thing for anyone.
We have our own bubbles now.
LOL. Yeah. Because Baraq Obola is such a tough negotiator that will never happen.
And the fact that all this stock market stuff is new to them.
They can collect any time they want.
30 years is just the time for it to fully mature.
Wars have traditionally been waged as a result of poor economies. It’ll be interesting to see the reaction from this.
“It’s only paper.”...Sam Walton.......................
They can’t go communist economically speaking because they can’t feed a billion Chinese.
All though China has plenty of males that can be used for war.
Here is quick break down as things stand now.
They are the biggest Economy in the world. That’s the way it works.
DP Developing 7 vs GDP G 7
38.417 Trillion USD vs 34.740 Trillion USD
The Developing 7
1. China
2. India
3. Russia
4. Brazil
5. Indonesia
6. Mexico
7. South Korea
The G 7
1. USA
2. Japan
3. Germany
4. France
5. UK
6. Italy
7. Canada
The 15 biggest economies in the world 2015 ( PPP )
Rank Country GDP (Billions of US$)
1. China 17,617.3
2. United States 17,418.9
3. India 7,375.9
4. Japan 4,750.8
5. Germany 3,721.6
6. Russia 3,564.5
7. Brazil 3,263.8
8. Indonesia 2,676.1
9. France 2,580.8
10. United Kingdom 2,548.9
11. Mexico 2,140.6
12. Italy 2,127.7
13. South Korea 1,778.8
14. Saudi Arabia 1,605.7
15. Canada 1,591.6
The following are 26 other ways that China has surpassed America…
#1 When you add up all imports and exports, China now accounts for more total global trade than the United States does.
#2 There is now more total corporate debt in China than there is in the United States.
#3 During 2013, we sold about 121 billion dollars worth of stuff to the Chinese, but they sold about 440 billion dollars worth of stuff to us. That was the largest trade deficit that one nation has had with another nation in the history of the world.
#4 China is now the leading manufacturer of goods in the entire world.
#5 Back in 1998, the United States had 25 percent of the world’s high-tech export market and China had just 10 percent. Today, China’s high-tech exports are more than twice the size of U.S. high-tech exports.
#6 The United States had been the leading consumer of energy in the world for about 100 years, but during the summer of 2010 China took over the number one spot.
#7 China now has the largest new car market in the entire world.
#8 China has more foreign currency reserves than anyone else on the planet.
#9 China is the number one gold producer in the world.
#10 China is also the number one gold importer in the world.
#11 15 years ago, China was 14th in the world in published scientific research articles. But now, China is expected to pass the United States and become number one very shortly.
#12 China is also expected to soon become the global leader in patent filings.
#13 China awards more doctoral degrees in engineering each year than the United States does.
We are in a real estate bubble too.
Compound that with the Euro that is about crash because of Greece.
Greece will still be the first to fall. How symbolic is that?
And do what with the funds? Sink into their stock market? U.S. Treasuries are about the only safe investment the China government has.
They can sell the bonds prior to maturity; they can’t demand payment of the principal from the debtor prior to maturity.
They can sell the bonds prior to maturity; they can’t demand payment of the principal from the debtor prior to maturity.
Let the Christians take over!
Cash in and buy Gold.
The U.S. Dollar has been tanking thanks too Q.E. 4 unlimited.
The Fed has been pumping in over a Billion new dollars ever new month to keep inflation in check.
The Keynesian economics policy has been to fake it until we make it. Although that has failed miserably.
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