The Mirror Crack'd

Chinese Shares Soar - But Can They Be Bought?

Do you know anything about the internal working of the Chinese economy? Do you know to what extent the government can manipulate (the appearance of)it at will? State-owned enterprises have no accounting accountability, are administrative monopolies, and can cook their books, move money around between group companies, get no-interest bank loans - and in a one-party state do you think you'll have sound financial analysis or reporting?Even institutional American investors won't know what the hell they are getting into.

Take it from me - I am a diplomat who was stationed there. This show can only go on for so long. You know you are in a bubble when unscrupulous ads on the Christian Science Monitor site is marketing to unsuspecting John and Sally Does in this benighted naive country. DON'T GO THERE!