Chinese stock market cannot enjoy less attention lately. I blogged about the stock market in February about the little shake, but now it seems to surpass its capacity and reach to a level that I start to worry about.
I don’t buy stock, but my mum does. She started getting into these sorts of things since she retired two years ago. Now the computer in our house has become her “daily business platform” and she is taking it seriously. I called last week and she didn’t stop telling me that how good the market is recently. Although I don’t know much about that, but from what I read I know sometimes things might be too good to be true. I’ve a friend who works in a big investment company in Japan also shared an article on the overwhelming market. It looks like the market has gone up to a “crazy” level.
My dad is a businessman, he is not very into stock market. According to him, stock market in China is not mature enough and it might be more risky to invest than doing business. Of course there are cases that people made millions over night, but examples of people went broke and committed suicide aren’t rare too. He said the Chinese stock market is still controlled by individuals rather than market-orientated. I agree. But his opinion isn’t persuasive enough to my mum when she is earning thousands by just clicking the mouse. She is still doing her investment “business” and enjoying the crazy market a lot.
I’m just worrying about the overwhelming phenomena might turn into a nasty financial disaster, like the Asian Crisis and the bubble in Japan in 80s. What China needed most now is stability, politically, economically and socially. Things go too good or too dramatic might not be positive. I’m not pretending to be an economist, but I just don’t want my mum to suffer from shocks.
{ 2 comments… read them below or add one }
it is a big bubble which people are actually enjoying..most people playing in the stock market must have already been aware of it..
Like Japan in the 80s, a lot people enjoy it too and don’t want to say it was a bubble!