I wonder how much their stock market meltdown has to do with this?
Not likely anything meaningful. They could have always used the treasuries as collateral if needed.
We have to stop thinking these central planners in China are Supermen, they are not. They have no experience in the long run with how marlets truly operate and central allocation of capital is just as stupid as central allocation of economic investment (ie-ghost cities).
Win some, lose most. That will be the experience.
A lot.
.China’s securities regulator banned major shareholders, corporate executives and directors from selling stakes in listed companies for six months, its latest effort to stop the nation’s $3.5 trillion stock-market rout.