"China's Stock Market Turmoil: Calls for $1.4 Trillion Stabilization Fund as Leaders Struggle"

An academic at a Chinese government think tank has proposed the establishment of a stock stabilization fund in China, aiming for a size of 10 trillion yuan ($1.4 trillion) or more to boost market confidence. The fund, suggested by Liu Yuhui of the Chinese Academy of Social Sciences, could initially be around $300 billion to $500 billion and then increased based on the value of the country’s capital market. Chinese authorities are reportedly considering measures to stabilize the slumping stock market, with a recent stock selloff deepening to a five-year low.