The Chinese Stock Market Tumbles To A Post-Crisis Low

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		Tech Science Entertainment Wall Street Markets Strategy Sports Lifestyle Politics Law International Video Latest Monday, August 20, 2012 The Chinese Stock Market Tumbles To A Post-Crisis Low The Shanghai Composite closed down 0.38 percent on Monday, to a three-year low. This came after rise in Chinese home prices caused investors to speculate that Beijing would announce more property curbs to maintain a "firm grip" on its real estate market.  Moreover, a newspaper run by the People's Bank of China said the central bank does not intend to cut reserve requirement ratios (RRR) in the near-term. This also disappointed markets that were looking for more interest rate and RRR cuts and easing following disappointing economic data. In fact, the Shanghai Composite has diverged vastly from the S&P500. Global Macro Monitor points out "the Shanghai is down 39.2 percent from its post crash high while the S&P500 is up 42.3 percent over the same period". More from Global Macro Monitor: What does the continued poor performance of the Shanghai signal?   Not sure, but either Chinese stocks are holding a massive fire sale and the Shanghai is setting up for a huge bounce or Air China is crash landing.  And that, folks, ain’t good. Read » Also On Money Game Today: Does A Watched VIX Ever Boil? VALUATION EXPERT ASWATH DAMODARAN: This Is The Price Where I'd Buy Facebook DEUTSCHE BANK: These Are The 30 Best Stocks You Can Buy Right Now JPMorgan's Tom Lee Just Boosted His Short-Term Target For The S&P 500 Advertisement CHART OF THE DAY: The 'Housing Recovery' In One Unequivocal Chart CHART OF THE DAY: The World's Central Banks Are Bulking Up In Gold CHART OF THE DAY: Why Investing In The Fastest Growing Economies In The World Doesn't Always Work Out Share this: Facebook Twitter Digg Reddit StumbleUpon LinkedIn The email address for your subscription is: dwyld.kwu.jobhuntportal11@blogger.com Change Your Email Address | Unsubscribe | Subscribe | Subscribe to the Money Game RSS Feed Business Insider. 257 Park Avenue South, New York, NY 10010 Terms of Service | Privacy Policy

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