China stock market stumble
It looks like the economic growth juggernaut just had a bit of a set-back. The Shanghai composite index hit a record yesterday and then proceeded to drop 8.8 percent on Tuesday. If this turns out to be a one day stumble then no problem, but if it worsens in the days ahead it could hurt Chinas economy. If we see spill over into lower resource demand that would of course be bad news for Canada.
Emerging markets in Asia also fell, along with European stocks, as the plunge shook investor confidence. Canada’s S&P/TSX composite index fell 196.60 points to 13,207.86, led by gold, energy and information technology stocks. It was the biggest drop since early January.
The move in China also may cause investors to have a second look at other investments that are perceived as risky, Mr. Guatieri said. “It tends to shake confidence. If one market comes unglued, the market will look at other markets that are a bit frothy.â€
Update: Markets are down all over, US, Europe and Asia while treasury bonds rally. This is currently the lead story at CNN.
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February 28th, 2007 at 10:48 am
Looks like we’ve seen a bit of recovery today. The loony took a hit, but Bernanke says everythings ok (sky not falling).
February 28th, 2007 at 10:09 am
“The wealthy Asians are getting out of equities and into Vancouver residential real estate before the next leg up.
Better hurry, we are running out of sky and concrete.
2/27/07 3:43 PM”
These 2 live and own million$ worth of properties in Vancouver
http://tinyurl.com/33ugc8
http://tinyurl.com/2m3p4g
February 28th, 2007 at 9:29 am
Looks like the sun rose this morning. My energy and bond investments are both up, win-win. Hah.
Warren, watch out, the sky is falling.
February 28th, 2007 at 9:04 am
Looks like the sun rose this morning. My energy and bond investments are both up, win-win. Hah.
February 28th, 2007 at 7:26 am
The rush to the safe haven of RE happened after 911, and the ensuing stock market declines. … It also happened in YVR on the heels of the tech stoch decline. However this time its different. and By different I mean RE is now over bought in most markets.
No more safe havens.
When in danger
or in doubt,
Run in circles,
scream and shout.
February 28th, 2007 at 7:02 am
By different I mean RE is now over bought in most markets.
February 28th, 2007 at 7:01 am
The rush to the safe haven of RE happened after 911, and the ensuing stock market declines. (in conjuction with super low rates). It also happened in YVR on the heels of the tech stoch decline. However this time its different.
February 27th, 2007 at 7:48 pm
“The cagey realtors(not that we know of any)
could spin this as a good thing.
“interest rates will stay low, possibly go lower, and with the stock market being volatile, investors will flock to RE”"
Funny, they’re already talking like this over at RET.
February 27th, 2007 at 6:48 pm
The last of the greatest fools will buy the poison.
The greater fools are always with us.
February 27th, 2007 at 6:39 pm
The cagey realtors(not that we know of any)
could spin this as a good thing.
“interest rates will stay low, possibly go lower, and with the stock market being volatile, investors will flock to RE”
The last of the greatest fools will buy the poison.
February 27th, 2007 at 5:59 pm
vancouver real estate giving life to canadian economy.
Vancouver RE sucking life out of my personal economy.
February 27th, 2007 at 5:43 pm
I blame Greenspan.
February 27th, 2007 at 4:28 pm
Wow … could this be the welcome mat for the official coming out party for the U.S recession?
February 27th, 2007 at 4:25 pm
one of the problems of being priced for perfection is the discovery there are glitches in reality…..
it was suggested that the stock market could very well be the next “bubble”…. hmm maybe not
tomorrow will be very interesting
February 27th, 2007 at 3:43 pm
No worries, it’s just a simple rotation.
The wealthy Asians are getting out of equities and into Vancouver residential real estate before the next leg up.
Better hurry, we are running out of sky and concrete.
February 27th, 2007 at 2:09 pm
Just because the TSX is down along with China and the US markets has nothing to do with Vancouver real estate. I’m telling ya’ Vancouver real estate is only going up! Buy, buy, bye bye..
February 27th, 2007 at 12:44 pm
sorry its their mind
well we can feel proud atleast vancouver real estate giving life to canadian economy.
21 million people
city is going to host they are not going to live here.
2001 572k 2006 605k
2011 628k that’s population of permanents and citizens don’t you think we need more construction,other people hard to count them but they are bham.millions of visitor’s every year look at vanwest some people learning new bussiness to make residential accomomdation to use daily,weekly basis.and some already started
Vancouver considered a leader in sustainable practices.
February 27th, 2007 at 12:31 pm
maybe you could add
..albertabubble.blogspot.com
to your links
February 27th, 2007 at 12:26 pm
OT here, but there goes my CPP retirement money. Down the drain, that is.
February 27th, 2007 at 12:18 pm
Last time I checked the S&P/TSX Composite Index is down 3.03%, while the TSX Venture Exchange is down 5.44% … since it opened this morning.
February 27th, 2007 at 12:01 pm
Wow. Looks like this has the potential to become a bit worse. This is the top story at CNN right now. The New York stock exchange has imposed trading curbs meant to limit market sell-off.
Dow Jones and Nasdaq are down along with European and Asian markets. Treasury bonds rally. Wonder if we’ll see a recovery tommorow?
February 27th, 2007 at 11:24 am
Now when market is stumble they could change there mind
With no money left after the market stumble, they can buy boat fare to Vancouver. We will have 21 million people living here in a failed specuvestor shantytown.
Last time I checked the S&P/TSX Composite Index is down 2.38%, while the TSX Venture Exchange is down 3.54% … since it opened this morning.
February 27th, 2007 at 11:17 am
Real estate is just a part of economy not a heart of economy,this part is doing great in vanbc.
Well there was a report last year
“because of strong economy in china”chinese people decide to sit back home rather than going somewhere else in the world.Now when market is stumble they could change there mind.
There are two markets currently shining Indian economy and Vancouver real estate market I think we have to arange for more kite’s flying to Vancouver
February 27th, 2007 at 10:03 am
Thanks to Marco for the link, who points out that since our economy is based on two weeks of winter games we don’t actually need to worry about resource markets.