Chinese ‘Dead Cat Bounce’ Fades, “Hostile Sellers” Appear As Goldman Warns “Not Yet Fully Purged”
by Tyler Durden
ZeroHedge.com
07/09/2015
*CHINA’S SHANGHAI COMPOSITE INDEX FALLS 0.6% TO 3,687.36 AT OPEN
Amid the highest level Typhoon warnings, China’s stock market continues to storm as only 49% of Chinese stocks are halted (down from 54%) as local analysts fear yesterday’s bounce (just like last week’s) was nothing but a dead cat bounce: “bounces like today prolong the timeframe to get that final bottom in place.” For the 14th day in a row margin balances declined with the pace accelerating (down 10.9% yesterday alone) for a total over 36% decline so far. Seemingly on pain of death, someone is selling Chinese stocks as CSI-300 futures opened a mere 0.2% higher then sold off – no follow through for now. Goldman warned to expect another 30% decline margin balance and concludes, China “hasn’t yet fully purged.”
The Rest…HERE
