Shanghai’s Composite Index Declines 7.7%
June 10th, 2008Via: CNN:
Asian markets suffered major losses Tuesday, led down by Shanghai and Hong Kong, where banking and property shares fronted declines.
Investors fretted about the impact of the latest round of anti-inflation measures announced over the weekend.
Shanghai’s Composite Index plunged 7.7% to 3,072.33, its lowest closing level since March 22. Tuesday’s trading was the first since the People’s Bank of China announced it would lift the ratio of reserves banks must set aside as deposits by 1 percentage point. The adjustment comes ahead of consumer-price index data for May due out Thursday.
The benchmark index for the Shenzhen stock market was down 8% at 928.20.
Hong Kong’s Hang Seng Index slipped 4.2% at 23,375.52 and the Hang Seng China Enterprises Index gave up 5.4% to 12,789.87.
Chinese banking and property shares were among leading decliners amid concerns about the outlook for corporate earnings, given higher oil prices and the impact of the macroeconomic controls.
Shanghai-listed shares of China Merchants Bank and Shanghai Pudong Development Bank both fell by their daily 10% limit. Shenzhen-listed shares of property developer China Vanke was also limit down 10% before trading was halted.
Well what the eff?
Can China itself be in deep denial of what the impact of the quake is having on its markets? Right. Worried about corporate earnings, higher oil prices and the impact of macroeconomic controls?
Yessiree. Its a tough world when you can’t post a profit on your stock exchange when say, “some” of your peoples (15 million) have just been displaced.
No worries. Here in the U.S. we’ve disappeared a lot of the people who were dislaced by Hurricane Katrina. Once in awhile peoples are remembered. Mostly we don’t look that way because, you know, George Bush and Dick Cheney don’t like black people and the drain those southern folk were on the U.S Treasury. You know, Civil War Reparations, owing folk lots of money for all the torture and slavery. Shit like that. Some folks were hoping we’d kill off lots of the debtors of the U.S. Treasury with Hurricane Katrina. Kind of like that Indian thing. YOu know. How the Anglos raided their land and tried to kill them all off? Captured people from their homes in Africa to pick freakin cotton. That sort of thing. Got to get rid of the debts and the right thing of reparation to the peoples who don’t have the power to complain about it when you don’t pay, and when you uh, have the technology to wipe them off the map with uh, a “natural disaster.”
Dunno about you China.
I’m not feeling hopeful if you are not mourning the loss of life of your peoples more than you are wailing about your gog-dained stock indexes.