PanAsianBiz

A Stock Express: Stocks dive, then rebound

by admin on January 24th, 2008

A Stock Express: Stocks dive, then rebound.

Shanghai Composite Index started with an impressive rise at the open at 4705 points, and a stomach-turning loss of 197 points by midday.

This position, 4510 points, is also a new record for this turn of sell-off.

Then stocks changed their ways, soar higher and closed with a magic number 4703, 3.14 percent gain.

This volatility is like a "financial spring".

98 percent of stocks jumped. Heavy-weight stocks led this dramatic market show.
You might say this is a good reaction to the US market. The Fed is the "director" of US market; the US market is the "director" of the global economy.

But can the Fed save the US economy by a simple sudden financial reaction?

Will the Chinese companies get more orders from the US?

And then, will they benefit the stock market investors?

"The central bank is out of control," said George Soros, the giant in global financial market.

Let's hope this is not the Chinese central bank.

China is definitely getting into this global "game".

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POSTED IN: Doing Business in China