China to Quit Government Stock Buy-Up
They’ve stopped throwing good money after bad. After Chinese government injections of roughly $200 billion to bolster free-falling markets, they’ve nonetheless lost more than a third of their value since June. So they’ll stop buying low, officials say, and will invest in punishing those who destabilized the economy. Regulators detained 11 people suspected of “illegal market activities” last week — and some are starting to worry about President Xi Jinping’s ability to steward the economy, even as he prepares to flex China’s financial muscles in Washington in a few weeks.