China Central Bank Launch Quantitative Easing! Stock Market Chiong Ah! 

Just came back from 2 cities in China, economy is healthy and doing well, 2 observations are consumers are speculating less in properties unlike the property boom years and consumers are buying much more local brands effectively buying less of more expensive foreign products. Both these reduces investment and consumption GDP but the economy is definitely not in a tailspin as western media portrays. We are also seeing many more Chinese brands moving overseas now. The stimulus are a right steps to stimulate investment and consumption but they are not meant to fix a 2008 GFC or 2020 covid style crisis.

Conclusion: sell what 1m65 buy, buy what 1m65 sell lol. Thank u Mr Loo for betting against china 🎉

After your China Jialat video 5 days ago, BABA stock up 20% JD stock up 37% TCOM stock up 25% I hope no one took your advice.

Ha Ha .. I must say a lot of real experts give their views of China. i also suggest you stick to topics you know better, your china videos simply reflect your lack of knowledge in china.

Mr Loo, first off, you make this video as you look so bad after the china market chiong right after your video. While you are recycling the old news that most of us know, you miss out the fact that china needs to time their stimulus to prevent major capital outflows. Hence the major stimulus post feds cut rates. China cant be US. Dr wealth did a better job than you on this. i also suggest you stick to topics you know better, your china videos simply reflect your lack of knowledge in china. Shoo... go and talk about your s&p index investing and donald trump..

Please get it right. Quantitative easing is not the same thing as expansionary monetary policy. QE is a specific term where the central bank prints money to buy back bonds. You can see it as liquidity swap. Here the Chinese government is straight up lowering interest rates. That is not QE.

Is Mr Loo selectively picking evidences to support his views / biases or is he being objective and arriving at a conclusion based on ALL the evidences? This is where each viewer need to judge for themselves

GREEN DRAGON LETS GO!

The right choice of an investment has always been a big problem for me I know picking a wrong investment will leave a big scar in the future.

So now you have exposure to Chinese stocks? Horse back cannon? I envy you, cannot never go wrong one. Always correct. Disgusting to the core

Mr Loo , once Adam Khoo sells his China stakes ie when the PE ratio reaches fair value I will start buying this Chinese ETF - FXP ProShares UltraShort FTSE China 50

Before your embarrass yourself more, read more about BRICS and spend a couple months in China (not HK or Macau).

The video talks about the recent quantitative easing launched by the Chinese Central Bank to stimulate the Chinese economy. The speaker, Mr. Luk, analyzes the potential outcomes of this policy. The video starts with Mr. Luk explaining what quantitative easing is and the measures that the Chinese Central Bank has taken. These measures include cutting the reserve requirement ratio, lowering the mortgage rate, and injecting funds into the market. The speaker also mentioned that the Chinese government is giving out consumption vouchers and subsidies to further stimulate spending. Analysts' opinions on the effectiveness of the stimulus package are then discussed. Some analysts believe that the stimulus is not big enough, while others worry that it might lead to a liquidity trap, a situation where people hoard cash and refuse to spend. The speaker concludes the video by saying that the outcome of the quantitative easing is difficult to predict. He personally believes that there is a 60% chance of a liquidity trap happening, and that more rounds of stimulus might be needed. The speaker also acknowledges that some people are taking bets on the Chinese stock market, but warns that it is a gamble.

There are a lot of similarities between China now and Japanese economy during it’s lost decades, though it seems Chinese government take a more far sighted approach and have taken advance actions to manage (or burst) the asset bubbles in a controlled manner as compare to Japan then. I would view the change in China’s stand to stimulate the economy now or raise its retirement age is not because of knee jerk reaction, but they have assessed this is the right point to inject controlled stimulus, change manage social acceptance to optimise the effect, and start preparing for a long transition into developed economy. This is not to say China did not make any wrong decisions throughout, but there are more evidence that Chinese government will learn and pivot instead of kicking the same can down the road until situation cannot be salvaged.

wow...he outdid himself. he did a flip flop within one video... click bait title says MEGA Stimulus and in the video, he says its not enough... too small a stimulus... mother of all flip flips, really disingenuous.

Prata and prata. Just parrot on the news. The comments are more interesting than the video.

Unsubscribe to this bs

Heng never follow you. my alibaba up 40%. Sometimes, i feel your sharing are hindsight analysis. the battle is over.

危机。Chinese civilisation survives the longest. How long will China recover? Hope it will not take so long. One stimulus is unlikely to solve the problems, at least it saves some sectors. One step at a time. I believe the China government is competent to handle crisis. Not easy to govern a big country with large population. I don't think people in China have no faith in their government. It is a common sense for many Asian especially Chinese to save for rainy days.

Lots of Singaporeans want properties to be cheaper here. Look at all the cheap empty properties in China. We better be careful what we wish for!

Summary from parsing through books and online information: 1) the western and Japan bloc when they do monetary stimulus, unfortunately most of that conjured money goes back to the financial system, that eventually ended up in a more speculative bubble, rather than flowing into the real economy. For China, a lot of these monies do go into real assets and real economy. 2) China is a command and control country. Things can move very fast in the direction that the government wants. Unlike the banks in democratic countries, where chasing for profits is key, china banks have to listen to the CCP to support the real economy 3) now that CCP had announced monetary stimulus, all eyes and ears on what fiscal stimulus are they going to unleash. 4) when stimulus starts, it will never end at the first stimulus. Western bloc and Japan included. Current monetary stimulus is not enough for sure, but we can all expect a lot more to come when both xi and pan had said that they will do more in the future. How all these will lead to stock market returns, it’s up to each individual to interpret. That’s what makes a market. Do whatever that floats your boat.

I remember my boss used to tell me, don't go against the policy makers. He was right, very smart guy.

Dude u just read from the news articles. Wasted my 5 mins watching. All I could think your other video saying stay away from China. Good call.

Mr Loo nice job... Yr previous video very bearish on china. Next thing we know.. u buy chinese stocks.. i would feel so betrayed if i were your supporter.

So contradicting, beginning of the video say the stimulus is laughable, ending say if China is not in a bad shape, they will not throw so much medicine. Hope no one took his advice, probably one of the worst guy to follow for financial advice, no substance at all. Please stick to your CPF strategy.

Btw scmp is now fully under controlled by chinese gov.

Cannot give too much $$$ la b'cos Army Fire Power is more important LA okay 😂

Cannot give too much $$$ la b'cos Army Fire Power is more important LA okay 😂

But u kept bashing china and said china uninvestible woh.

Yuan appreciation and stock market pumping, China central bank credit swap facility shares for PBOC bond.......200 billions with more to pump....

Enough $$$$ or not for over 1.3 billions Hah !!!?????😂😂😂

Wah, jia luk … never say never in life of not buying something. Nothing is certain in life except death and taxes … good luck and have fun.. being youtuber not easy..

any viewers shorted the china market after your previous china bear video or not?

China stock market is very much driven by sentiments. Don't touch Chinese stocks if you have not studied their market thoroughly. HK stock market is also behaving more like the Chinese stock market. The 12% rise in index over the 5 days is made up of short covering, and funds which have been bleeding badly borrowed exuberance from news to push up the market to exchange their locked chips for cash. If you bought on Tuesday, good for you. But if you haven't bought, it will be suicidal to chase in now.

Is it possible that the chinese govt need these measures to counter the effects of western economic bullying ... to improve domestic demand coz western countries are falling back to protectionism (ridiculous tariffs) to curb the 'excess capacity' in Chinese economy. Since you are talking about SCMP - read "How China’s ‘dual circulation’ drive is shaping up - and what’s next on the agenda" - China's “dual circulation” campaign, a long-term plan to boost domestic markets and reduce reliance on international trade for the sake of security.

Yes. But you and Adam emphasized you will never touch China market.

There are restrictions that limit the daily volume of sell orders in the brokerage account. Buy no problem.

Buy globally diversified index fund. Don’t take side with any country, sector, currency, company, large cap, small cap, growth, value.

agree..time will tell. Its premature to pass judgement. The China central Gov has more flexibility to administer progressive QE as compared to the US.

Getting nowhere ... listen to Sean Foo for insight.

Not sure China rise or China falls but the fact is a lot and a lot of Chinese from China are moving to Singapore/ Malaysia and Thailand (not for holiday ) .. it is the FACT ..

Jai Hind. Luckily for most suffering China stocks and property investors, Xi had just woken up from his nightmare slumber. If elected, the trumpeter had indicated that he will send his lightinizer to deliver his invitation for Xi to attend his Plaza Trump accord.

Lie flat just scam easy $$$$ LA okay 😂😂

Mr Loo fund manager kicks ass for making a gambling pick in china! Can intro your fund manager in your videos next time! I prefer to like and subscribe him.

Another 割韭菜gimmick..

Japan took over 30-years with zero interest rate to push inflation towards 2%

Mr Loo I love your video. I am an engineer I never invest in stocks or never try to understand economic theory in my life until I watch your video. Nowadays I very keen to understand how SG or the world economy works. Thanks for all the effort in making such video. It does help people like me who know nothing about economics or the need to invest instead of just save money. Great job.

Real or not Real= RR LA okay 😂😂😂😂

Liquidity Trap! Yes... possible for Chinese and Japanese. Now I see the beauty of CDC vouchers.

China bull run!

He never commit on anything (we didnt expect him to). Just parrot and reading the news to us, if not, then telling us rich man problems.

It’s about liquidity. US did QE which pushed the stock market to record levels n all is happy with the income effect. Real economy performance may not be too much concern as long as there’s some wealth creation

Many part of the world you mentioned only 18% of world population. Global majority was increased trade with China. US isolated itself.

The housing market won’t improve even if they lower the mortgage rate. The main issue is so many pp have been retrenched. They are now nitpicking at age, gender and experience (depends on what they want to say). August reported the highest unemployment rate among youths. Middle income families are spooked by this experience and now everyone is circulating minimalist lifestyle especially the youths now. With the stimulus in such as the Shanghai consumption vouchers it may help them with daily utilities and Groceries bill but I don’t think pp are comfortable to spend. That is why I think the government need to work more on the crux of the issue, which is the hardest because our government is not able to solve this too.

In fact, China just bailed out by massive stimulation! Need to do economy adjustments. Too much consumption. More than 20 millions graduates unemployed. Push the economy too fast and over buildings.Hope not to end up like US & others. Tks.

It's okay to be wrong, not even warren buffet is right all the time, but he admits his mistakes.

Do research , don’t talk nonsense.

Trust the emperor. His hobby is throwing dung at the fan. He's been doing that for more than a decade and never miss.

Mr loo Just say sorry my supporters.. i cant help myself.. i gamble on china stocks. I cant stop the gambling itch.

Every countries has its own issues, US and western nations likewise.. we just follow where the monies go next... in this case.. going to china..

Thx Mr Loo. Can you really trust the economic figures/numbers that are coming out from their official sources? It puzzles me that GDP growth still looks decent but yet they are carrying out economic stimulus. Why would you need to do that if GDP growth is around 5% last year for such a large economy?

As friedman money multiplier effect , the cut of rrr 0.5% = injecting 200x of current money supply into banking system

It's pretty well documented that Consumption spending makes up two-thirds of the U.S. economy (they dont really make anything) and comaparatively, China's economy is driven by manufacturing so not quite comparing apples & apples to so quickly assess that this determines that it reflects a liquidity trap? Only time will tell to see if these measures will meet their national economic objectives at the same time prop up the stock market and make the market investors happy.

Non china but china dependent stocks chiong. 🎉 happy for that

Mr Loo, thank for the analysis and your candid opinion. I find it useful. Regarding news analysis, focusing on what you deem to be true may be more important. Balanced sources for the sake of balance can tell untruths as well, when the truth may be ugly.

He is the student of Serpentza and peter zeihan!

richard koo the economist has explained, QE wont help a negative balance sheet recession

US print again this time, I will all out invest US stock to hedge inflation. 🤣

Print more money distribute for every citizens to spend

Japan was subjected to the plaza accords...

How will this move affect US stocks???

just buy VWO and hold long term

In short boh laksa?

So can buy China stocks now? 😮

Well done Mr Loo. Keep up the good work.

Pump and dump after us election

What happened to not touching chinese?

I like your comment “if u are not sick why take so many medicine “ Mr Loo u are a great RU-vidr interm of economic talk” Jia you

500B new print money.

Buy buy buy

He will only stay 3 term

Japan.....

360m in vouchers for population of 1b each person gets 30 cents what would that buy?

Hosei. Reverse indicator spoke again. Next week China rally

Same thing will happen as trump’s stocks. Go up and then falling knife. Quick in , quick out.

Every investment other than putting your money in FD carries risk. If you want to invest you have to take risk. The easing in my view provides a base to China on its economy. There is still lot of trades China has with other countries. The media? They need to write something else they will be out of jobs. I personally have investments in HK and for those who have, ride it into 2025.

Mr Loo is put on the defensive, at least for now. Time will tell who has the last laugh.

QE is primarily to relax financial system conditions, not for stimulating economy. Not gonna make any difference, except to enrich the few direct institutional recipients. It remains to be seen if the direct recipients will pass on those benefits to "main street" citizens or washed the money out of China. Plus China now suffers from a demand and credit problem in main street, not a liquidity problem at institutions. QE is meaningless. Lets just wait and see in a few months time. Good luck.

Lol, many don't like China...