China Weighs Market Curbs Amid $1.2 Trillion Stock Rally Fears
Chinese regulators are drafting measures to temper a frenzied stock market rally that added $1.2 trillion in value since late February. Proposed interventions include stricter oversight of short-selling, speculative trading, and retail investor leverage—echoes of 2015's boom-bust cycle that erased household wealth.
Authorities aim to engineer a soft landing rather than trigger a selloff. The securities watchdog seeks to balance market vitality with risk containment, particularly as equities influence consumer confidence during economic headwinds. Memories of the 2015 crash, fueled by margin debt and promotional broker tactics, loom large in policymaking circles.