Short Sellers Run Rampant — They Must Be Severely Punished by Law
2007/4/30 8:36:12
A boring trading day splitting an originally 10-day holiday into two halves, so someone must be berated. These past two days, N acquaintances have called to ask this ID whether a capital gains tax is about to be levied, just as N-squared people asked this ID a few days ago whether the People's Daily was about to publish another editorial. N versions of editorials fabricated by short sellers have circulated all the way to this ID — these could absolutely serve as criminal evidence.
Those who hoped to smash the stock market with the 2/27 crash — a particularly miserable lot lately — are certainly not all traitors, but after being squeezed up 1,000 points, they coordinated with foreign media, forged editorials, and mounted a massive campaign. The accusations and slander against China's stock market have reached unprecedented levels — is this mere coincidence? In recent days, countless people have jumped out, with one singular theme: discussing how to bring the stock market down. This ID finds it bizarre — back when the Nasdaq rose with even less justification, when not even the "price-to-dream ratio" could explain it, who was spreading the myth of the New Economy? Now, why should the market calibrate itself according to their valuations? Are they God? Most importantly, some of these traitors' lackeys have been singing bearish since 1,300 — they've been talking all the way to now and still have the nerve to show their faces? It seems stock index futures should have come out long ago — should have launched at 1,300 so these short sellers could go bankrupt N times over and evaporate from the face of the earth.
A very strange problem: certain people don't participate in this market at all, yet spend all day spitting at it from the sidelines. If these people only barked a few times on their own blogs, that would be fine. But these people occupy the most important media resources. Others work in the shadows, fabricating documents and firing sniper shots day and night. These people, regardless of the Shanghai index level — even at 300 points — would have plenty of tasks to keep them busy. Their task ultimately boils down to one thing: destroying China's capital market. Because a powerful Chinese capital market would make certain people, certain countries in the world, uneasy and afraid.
Setting aside other remarks, fabricating People's Daily editorials has absolutely crossed the legal line. With today's technology, it shouldn't be hard to trace who manufactured such illegal incidents. If the CSRC can't even regulate this, then at the very least it is grossly derelict in its duties. As for something like a capital gains tax — involving a fundamental change to the system — is that something a mere CSRC can decide? Should those who fabricate these rumors also face legal sanctions? This ID thinks there's no reasoning with traitors and rumor-mongering short sellers. If China's state machinery can't even be cranked up against these people, it's going to rust.
The market can shake, correct, even have monthly, quarterly, yearly 419 or one-night-stand moves — but it absolutely cannot tolerate those who fish in troubled waters and spread rumors. Those losers who failed in the market resort to dirty tricks, but regardless, being squeezed up 1,000 points is an iron fact. Barking won't help.
A few days ago, this ID even wrote an article telling the central bank to stop getting water on the brain, yet the central bank's behavior has continued to prove that if it has a brain at all, that brain is absolutely waterlogged. Isn't the current predicament of their own making? Having allowed the RMB to appreciate, even the dumbest pig's brain would realize that 70% in USD-denominated assets was bound to bring the current headaches. From 2005 to now, wasn't there enough time for them to adjust the structure of foreign exchange reserves? Even by the most balanced asset allocation ratio, on what grounds should USD assets account for 70%? Whose decision was that, and shouldn't they be held accountable? Everything they're doing now is merely to cover up one stupid mistake.
A fact no one dares to speak, but this ID must: the current so-called RMB appreciation is not a unilateral RMB action. The real issue is that the US crisis is causing the USD to depreciate, and many currencies have appreciated along with it. It's like holding an investment portfolio where, intentionally or through error, you hold 70% in a depreciating stock while the other 30% hasn't fallen — that's an investment blunder. Given the USD's proportional weight, what share should it account for? Can't a single person among all those US-educated PhDs at the central bank do this arithmetic? Probably it's not that they can't. Someone just has a natural fondness for America and an innate affection for the USD. This proportional adjustment could have been completed entirely before the appreciation — and the appreciation decision was their own, so couldn't they have at least done the homework before announcing the news? It's not that they didn't know — there were other issues that shouldn't have been issues.
From the most charitable perspective, do you know what the short sellers and the central bank have in common? They refuse to admit their mistakes and then pile error upon error to cover up. Of course, that's the most charitable interpretation. There's a whole pile of other issues this ID can't even be bothered to address. It's holiday time — this ID is off to indulge, and can't be troubled with such people.
Finally, a five-character poem for all those tormented by the market:
The dusty heart sways on its own,
Turning green then drifting red.
Before the screen, confusing deer for horse,
In the market, bitter bulls and bears.
No land beyond the tides of commerce,
The whole nation swimming in a sea of stocks.
Heaven and earth rise and fall in vain —
How many dreams, how much emptiness.
Appendix:
Originally, this ID didn't want to say much this morning, but then decided to gossip a bit so nobody jumps to conclusions thinking there'll be some huge gap down. Think about those people trading on Friday's info — why were they allowed to buy back in?
I estimate during the May 1st holiday, the traitors will be crying everywhere. The biggest benefit of traitors' existence is that they make the waverers jump in and out, contributing commissions to brokerages, thereby giving stocks related to brokerages even stronger fundamental support. So from that angle, traitors truly deserve great credit.
Today, 999 has also doubled — a task that should have been completed long ago but was delayed by those traitor fund rats. Enough said. One piece of advice for everyone: being a playboy requires skill and strength. If you don't have that, stay faithful. If you want to be a playboy but your returns can't even beat a faithful investor's, then you don't have the qualifications to be one.
Holiday time — starting today, this ID will also abandon stocks for seven straight days and wander off to somewhere with oracle bone inscriptions. Blog closed for a few days, reopening on the 7th.
Happy May Day indulgences, everyone.
Heading off, goodbye.
缠中说禅 2007/4/30 8:38:59
Trade by the charts, don't jump to conclusions.
Post-close analysis, then off to indulge.
Heading off, goodbye.