China economy facing turmoil ?

[RoofGardener]

There is some worrying conjecture floating around about the recent falls on the chinese stock exchange.

Firstly, unlike most western states, the Chinese government has far more power to intervene - and it has taken full advantage of it. However, some speculate that this intervention may make it impossible to ever open the exchange again, without risking a complete collapse.

Here's an article by Forbes

Other analysts are going even further, and suggesting that the stock market decline could merely be an emissary of a far more serious economic collapse. There is an article here from The Telegraph

Apparantly, there is a traditional Chinese curse. It goes.. "May you live in interesting times".

Edited July 12, 2015 by RoofGardener

[Sir Wearer of Hats]

China TELLS us it's stock exchange is in trouble.

[RoofGardener]

Well... it gave a few clues away. Like closing the exchange, and making it illegal to short-sell shares (not a bad idea, actually), and ordering the top 50 companies not to sell any more of their shares, and... you know... subtle stuff ?

[Sir Wearer of Hats]

When it comes to certain countries and certain people, I'm reminded of Willy Wonka's introduction to the children, China is one such country,

[+Hammerclaw]

China is and are that comports itself as and is, made up of proud disparate groups most of whom despise one-another.

[Uncle Sam]

They were following the same economic strategy Japan did after World War II which collapsed... that is why it collapsed. Didn't surprise me because China was repeating history...

[+DieChecker]

More bad news for the Chinese stock market...

http://www.telegraph.co.uk/finance/china-business/11766449/China-losing-control-as-stocks-crash-despite-emergency-measures.html

Chinese equities have suffered the sharpest one-day crash in eight years, sending powerful tremors through global commodity markets and smashing currencies across East Asia, Latin America and Africa.

The Shanghai Composite index fell 8.5pc despite emergency measures to shore up the market, with a roster of the biggest blue-chip companies down by the maximum daily limit of 10pc. The mood was further soured by news that corporated profits in China are now contracting in absolute terms, falling 0.3pc over the past year.

[Dark_Grey]

How intrinsically tied are we to the Chinese market? If they go down, how much of the Western world goes down with them? Just asking as I'm not too familiar with their economic setup

[+DieChecker]

Considering people were speculating that Greece might throw Europe (and thus the US) into a recession. I think that China getting hammered is EXTREMELY BAD for the US economy.

http://www.statista.com/statistics/277679/total-value-of-us-trade-in-goods-with-china-since-2004/