China Market Gets Assurance from the Central Bank - A Shares Likely to Keep Rising [View article]
Love your work Susan...
Seems that there are big buyers and big sellers in this market. The big buyers being long term instituions, the big sellers being the companies selling off shares (as lockup period is finished).
Quite normal if a new business cycle has started, companies want to raise funds to expand, start new projects. There is not much of a bond market, so this is the only way to raise funds. Long Term investors are happy to provide this funding as 5-10 years down the line with the view of future dividends and capital gains through the companies increasing value.
Could be very healthy as long as this is main mechanism facing the market! ?
China Market Gets Assurance from the Central Bank - A Shares Likely to Keep Rising [View article]
Seems that there are big buyers and big sellers in this market.
The big buyers being long term instituions, the big sellers being the companies selling off shares (as lockup period is finished).
Quite normal if a new business cycle has started, companies want to raise funds to expand, start new projects. There is not much of a bond market, so this is the only way to raise funds. Long Term investors are happy to provide this funding as 5-10 years down the line with the view of future dividends and capital gains through the companies increasing value.
Could be very healthy as long as this is main mechanism facing the market! ?