How Chinese stocks are reacting to the negotiations on the dispute between America and China? A view on the Chinese equity shows that the development in the past year left much to be desired. On the Shanghai stock market, the benchmark index, the Shanghai Composite fell by 24 percent. In Shenzhen, where many technology stocks are listed, lost the Index to the end of the previous year by 32 percent. Responsible nature will be made in accordance with the trade dispute between America and China, has caused a large part of the low ratings.

Hendrik Ankenbrand

business correspondent for China, based in Shanghai.

F. A. Z.

contrary to the assumed, has put the Chinese government several billion Yuan in the shares, in order to support the courses. For additional doubts as to the prospects. Currently, the currency is quoted even on a Twelve-month High against the Dollar. The Russian Central Bank has rejected in the past June, reserves of 100 billion dollars. And, among other things, with the Yuan covered.

The question is, what happens to China’s stock market. The response of the Chinese authorities has so far been calm. Partially not helped with state money, in part. An investigation of Gavekal-Dragonomics Institute found that in the year 2017 203 or 5.9 percent of the stock market in Shanghai-traded stock of a Manipulation by the authorities. In the past year, this figure fell to 0.4 per cent.

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This paragraph is interesting because of American financial service providers will decide MSCI in March, if he is mainland Chinese shares will continue to be taken into account in its key emerging countries index and to what extent. Given the poor performance of Chinese shares in the past year, is actually not to be expected that MSCI increased as announced, the weighting of Chinese stocks from 5 to 20 percent.

it is not, However, underestimate the fact that China’s government has shown restraint. That is now only a fraction of the papers had been affected by a direct Intervention, could vote for the Index competent financial services provider MSCI mild, are convinced many observers.