{"id":328352,"date":"2021-08-21T01:28:09","date_gmt":"2021-08-20T22:28:09","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/half-a-trillion-dollars-erased-from-china-markets-in-a-week\/"},"modified":"2021-08-21T01:28:09","modified_gmt":"2021-08-20T22:28:09","slug":"half-a-trillion-dollars-erased-from-china-markets-in-a-week","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/half-a-trillion-dollars-erased-from-china-markets-in-a-week\/","title":{"rendered":"#Half a trillion dollars erased from China markets in a week"},"content":{"rendered":"<p>&#8220;<strong>#Half a trillion dollars erased from China markets in a week<\/strong>&#8221;<\/p>\n<div>\n<aside class=\"single__inline-module alignleft\">\n        <\/aside>\n<p>China\u2019s tech stocks slumped to new lows on Friday and Hong Kong\u2019s benchmark index hit an almost 10-month trough, as an unrelenting <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/watch-movies-tv-seriess\/\" data-internallinksmanager029f6b8e52c=\"8\" title=\"Watch Movies &amp; TV Series\" target=\"_blank\" rel=\"noopener\">series<\/a> of Chinese regulatory crackdowns crushed investors\u2019 confidence.<\/p>\n<p>More than $560 billion in market value has been wiped off Hong Kong and mainland China exchanges in a week as funds capitulate out of once-favored stocks, unsure which sectors regulators will target next.<\/p>\n<p>The Hang Seng\u00a0fell 1.8 percent and its weekly drop of 5.8 percent was the largest since the height of the pandemic panic in financial markets in March 2020.<\/p>\n<p>Stocks in Shanghai also fell, while investors sold risky corporate debt and the Chinese currency. The yuan was poised for its biggest weekly loss in two months as investors rushed to safety amid global coronavirus concerns.<\/p>\n<p>U.S.-listed shares of China-based tech-related companies gained ground as bargain hunters took advantage of recent sell-offs resulting from Beijing\u2019s ongoing regulatory crackdown, which has wiped half a trillion dollars from Chinese markets this week.<\/p>\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" loading=\"lazy\" width=\"1024\" height=\"682\" src=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-alibaba.jpg?quality=90&amp;strip=all&amp;w=1024\" alt=\"A sign for Alibaba outside a building\" class=\"wp-image-19197250\" srcset=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-alibaba.jpg?quality=90&amp;strip=all&amp;w=1535 1536w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-alibaba.jpg?quality=90&amp;strip=all 1024w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-alibaba.jpg?quality=90&amp;strip=all&amp;w=512 512w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\"\/><figcaption>Chinese online retail giant Alibaba bucked the trend and came out a winner this week.<\/figcaption><figcaption><span class=\"credit\">Mark Schiefelbein\/AP<\/span><\/figcaption><\/figure>\n<p>Alibaba Holding Group, Tencent Music Entertainment Group, Didi Global and iQiyi\u00a0advanced from 1 percent to 4.5 percent.<\/p>\n<p>\u201cThere isn\u2019t really one trigger, but many bits and pieces that add to the narrative to stay away from China,\u201d said Dave Wang, a portfolio manager at Nuvest Capital in Singapore.<\/p>\n<p>\u201cAlmost on a daily basis you have negative <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> coming out, so it forms the impression there\u2019s no end in sight.\u201d<\/p>\n<p>This week alone China announced tougher rules on competition in the tech sector, summoned executives at property developer Evergrande to warn them to reduce the firm\u2019s massive debt and state <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">media<\/a> reported looming regulations for liquor makers, a favorite tipple for foreign fund managers.<\/p>\n<p>On the heels of crackdowns spanning from steelmaking to e-commerce and education, the moves are s<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ing faith in a market that seems yet to find a floor after months of selling.<\/p>\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large is-resized\"><img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-didi.jpg?quality=90&amp;strip=all&amp;w=1024\" alt=\"A trading floor seen with a glowing Didi sign\" class=\"wp-image-19197253\" width=\"620\" height=\"413\" srcset=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-didi.jpg?quality=90&amp;strip=all&amp;w=1240 1240w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-didi.jpg?quality=90&amp;strip=all&amp;w=929 930w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-didi.jpg?quality=90&amp;strip=all&amp;w=620 620w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-didi.jpg?quality=90&amp;strip=all&amp;w=310 310w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-didi.jpg?quality=90&amp;strip=all 1024w\" sizes=\"auto, (max-width: 620px) 100vw, 620px\"\/><figcaption>Ride-hailing app Didi escaped this week\u2019s softness and ended up in positive territory.<\/figcaption><figcaption><span class=\"credit\">Brendan McDermid\/REUTERS<\/span><\/figcaption><\/figure>\n<\/div>\n<p>The Shanghai Composite dropped 1.1 percent to its lowest close in more than two weeks on Friday and blue chips\u00a0fell 1.9 percent, with liquor makers\u00a0leading losses.<\/p>\n<p>China Telecom was a rare bright spot and surged on its debut in Shanghai.<\/p>\n<p>The epicenter of the selloff has been the tech sector, which had been popular with foreign investors who are now afraid they can\u2019t quantify the regulatory risk and are selling in droves.<\/p>\n<p>Hong Kong\u2019s Hang Seng Tech index, composed of many one-time darlings, dropped 2.5 percent on Friday to a new record low and has shed about 48 percent since February.<\/p>\n<p>E-commerce titan Alibaba\u2019s Hong Kong shares\u00a0fell 2.6 percent to a record closing low and have halved from an October peak. Internet giant Tencent\u00a0touched a 14-month low and food deliverer Meituan\u00a0hit a one-year low.<\/p>\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img decoding=\"async\" loading=\"lazy\" width=\"1024\" height=\"682\" src=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-china-stocks-3.jpg?quality=90&amp;strip=all&amp;w=1024\" alt=\"A stock trading board\" class=\"wp-image-19197254\" srcset=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-china-stocks-3.jpg?quality=90&amp;strip=all&amp;w=1535 1536w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-china-stocks-3.jpg?quality=90&amp;strip=all 1024w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-china-stocks-3.jpg?quality=90&amp;strip=all&amp;w=512 512w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\"\/><figcaption>Investors scrambled to sell off risky corporate debt, contributing to the $560 billion in market value wiped off Hong Kong and mainland China exchanges.<\/figcaption><figcaption><span class=\"credit\">Vincent Yu\/AP<\/span><\/figcaption><\/figure>\n<\/div>\n<p>\u201cThere\u2019s a herd mentality at the moment,\u201d said Louis Tse, managing director of Hong Kong brokerage Wealthy Securities. \u201cPeople see one person selling and then they do the same.\u201d<\/p>\n<p>As a result, Alibaba now commands its lowest price-to-earnings ratio since its listing in New York in 2014 and Tencent its lowest in more than eight years.<\/p>\n<p>\u201cTencent and Alibaba wouldn\u2019t be trading around 20 times earnings if the <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a> mood around them was optimism,\u201d said Tariq Dennison, managing director at GFM Asset Management in Hong Kong, who was actually a buyer of both on Friday.<\/p>\n<p>Adding to regulatory worries are concerns that China\u2019s economic recovery is losing momentum and debt risks are rising, as data points to slowing demand and factory output and suggests authorities are cracking down at a delicate time.<\/p>\n<p>Policymakers\u2019 persistence with curbing red-hot property prices, for example, has markets on edge and corporate credit fell further on Friday with the news that heavily indebted Evergrande had been rebuked by regulators.<\/p>\n<p>The yuan has fallen through its 200-day moving average against a broadly rising US dollar and weakened past the psychological 6.5 per dollar mark, hitting a three-week low of 6.5059 during onshore trade on Friday.<\/p>\n<p>The Hong Kong dollar sits close to its weakest in a year and a half, also suggesting money is moving out of the city.\n                        <\/p><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/nypost.com\/2021\/08\/20\/half-a-trillion-dollars-erased-from-china-markets-in-a-week\/\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;#Half a trillion dollars erased from China markets in a week&#8221; China\u2019s tech stocks slumped to new lows on Friday and Hong Kong\u2019s benchmark index hit an almost 10-month trough, as an unrelenting series of Chinese regulatory crackdowns crushed investors\u2019 confidence. More than $560 billion in market value has been wiped off Hong Kong and&#8230;<\/p>\n","protected":false},"author":1,"featured_media":328353,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/08\/sized-china-tech-stocks-3.jpg?quality=90&strip=all&w=1024","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[114591,76474,43256,72388],"class_list":["post-328352","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-8-20-21","tag-alibaba","tag-hong-kong","tag-stock-market"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/328352","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=328352"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/328352\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/328353"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=328352"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=328352"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=328352"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}