For the first time, Chinese citizens will be allowed to purchase shares on the Hong Kong exchange. Domestic investors can now open accounts at the Bank of China and trade all aspects of the Hong Kong market.
This is, potentially, a big deal: The Chinese have $2.2 trillion in savings… which can now be deployed in the market. Chinese traders no longer have to jump through the mainland’s bureaucratic hoops when moving money internationally.
“It is sometimes hard to believe,” Chris Mayer tells us, “but the impact of China on the world economy could still be much greater as the economy liberalizes further and as it gets larger. Right now, China has a lot of money. And where it ultimately invests that money could have a major effect on market prices.”
This is, potentially, a big deal: The Chinese have $2.2 trillion in savings… which can now be deployed in the market. Chinese traders no longer have to jump through the mainland’s bureaucratic hoops when moving money internationally.
“It is sometimes hard to believe,” Chris Mayer tells us, “but the impact of China on the world economy could still be much greater as the economy liberalizes further and as it gets larger. Right now, China has a lot of money. And where it ultimately invests that money could have a major effect on market prices.”
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