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Capital Flows

All articles tagged with #capital flows

finance2 years ago

Chinese Markets Experience Massive Capital Outflow Despite Efforts to Restore Confidence

Billions of dollars are flowing out of Chinese markets as foreign investors continue to unload mainland Chinese equities, despite recent measures by Beijing to boost investor confidence. The number of active China-focused hedge funds has fallen for the first time in over a decade, and direct investment liabilities into China have slumped 87% from a year ago. China's weaker-than-expected post-COVID recovery, economic issues, and regulatory crackdown against large private companies have contributed to the decline in foreign investment. Meanwhile, Commerce Secretary Gina Raimondo is seeking to mend the fractured relationship between the US and China during her visit to Beijing.

finance2 years ago

Chinese Markets Experience Massive Capital Outflow Despite Efforts to Boost Confidence

Despite Beijing's efforts to boost investor confidence in Chinese markets, foreign investors continue to withdraw capital, with $1.1 billion of mainland Chinese equities being unloaded. The Chinese government has implemented measures such as reducing stock trade taxes and collateral requirements, as well as urging mutual funds to avoid selling equities. However, concerns over China's economic issues, regulatory crackdowns, and tensions with the US have led to a significant outflow of capital from the country. The number of active China-focused hedge funds has fallen, and direct investment liabilities have slumped to a record low. Chinese millionaires are also leaving the country in large numbers. Meanwhile, US Commerce Secretary Gina Raimondo visited Beijing to seek solutions on trade and investment issues, indicating a potential shift in US-China relations.