When you're forbidden from saying it's a crash
Crackdowns on short selling, bans on selling large holdings, Chinese investment companies refusing to sell, China giving money to firms to buy stocks, you name it and the Chinese are trying it
The market falls have been halted in large part due to the intervention of the Chinese providing funds to firms to buy stocks with. They've stepped up their defence of prices after previous attempts failed. One of those attempts was the usual manipulation of the Chinese press and what they should and should not report on.
That started last month with the Chinese government issuing new rules on how news companies should report the events in stock markets
Bulls and bears be banned. Reported by China Digital Times
You've got to love that first line that coverage must be completely balanced
For now the rout looks over as stocks have staged a decent bounce. Wednesday looks like it was the time to buy, not cry. I doubt that is the end of the matter as the wider markets are still fearing a Chinese slowdown and Greece is driving a lot of the stock and risk moves in Europe and the US
It's very hard to bet against the Chinese authorities, particularly given their huge financial resources but the battle is only going to intensify the more they try to integrate into world markets. Is this a battle they can really win?
