Chinese stock market manipulation explained by Carson Block

Carson Block of Muddy Waters says the Chinese stock market momentum is “clearly being driven by liquidity being driven into the system. Policymakers were starting to take the air out of the real estate bubble, then they’ve stared into the abyss and thought, oh my god, we don’t want to do this. They tried to reflate the property bubble. It didn’t work. So then they started running op-ed’s saying that buying stocks in mainland Chinese companies is patriotic. They’ve really been pushing that. Carson says what’s currently going on in China “is probably the largest ‘pump and dump’ in history with many companies share prices being manipulated in some cases by over 500% in the past year.” For the mechanics of how the pump and dump works – watch this video: (VIEW LINK)