China's CSI300 benchmark blue chip index has hit its lowest since February 2019

<p>I posted earlier on the woes at FoxConn:</p><ul><li><a href="https://www.forexlive.com/news/china-tax-and-other-officials-have-launched-an-investigation-into-iphone-maker-foxconn-20231023/" target="_blank" rel="follow" data-article-link="true">China tax and other officials have launched an investigation into iPhone maker FoxConn</a></li></ul><p>Says Bloomberg:</p><ul><li>Chinese authorities are again shaking the confidence of foreign firms with a series of arrests and an investigation into Foxconn</li></ul><p>But its not really about FoxConn, or any individual firm, the Chinese Communist Party seems to be at war with enterprise. </p><p>From way back in 2021, billionaire trader George Soros:</p><ul><li>The president recently launched his “Common Prosperity” program, which is a fundamental change in direction. It seeks to reduce inequality by distributing the wealth of the rich to the general population. </li><li>That does not augur well for foreign investors.
Pouring billions of dollars into China now is a tragic mistake. It is likely to lose money for BlackRock’s clients and, more important, will damage the national security interests of the U.S. and other democracies.</li></ul><p>—</p><p>The CSI 300, or China Securities Index 300, is a stock market index that represents the performance of the top 300 A-share stocks listed on the Shanghai Stock Exchange (SSE) and the Shenzhen Stock Exchange (SZSE), two of the major stock exchanges in mainland China. A-shares are denominated in the Chinese yuan (CNY) and are only available to domestic Chinese investors and certain foreign institutional investors through specific programs like the Qualified Foreign Institutional Investor (QFII) and the Stock Connect programs.</p>

This article was written by Eamonn Sheridan at www.forexlive.com.