China finds action better than words

China finds action better than words - The days when the Chinese government could control the level of the stock market with a well-placed editorial or two are well and truly gone. [Financial Times - Financial Services]

Hu Xiaodong, a senior investment manager at MC China, a subsidiary of Martin Currie Investment Management, said: "Many investors have entered the market for the very first time recently and they learnt their first lesson last week when the government did what it said it wasn’t going to."

"Raising the stamp tax was a relatively minor move but it had a huge psychological effect and investors decided to secure their profits rather than wait for new government measures."