As China’s stock markets take a nose dive, the government has embarked on a plan prop up the underpinning of its share-buying public.
Beijing is now focusing on helping homeowners buy and keep their properties in the face a global real-estate meltdown.
Whether or not this is enough to sustain some kind of rally on the Hang Seng Index (HSI:HKG), which has dropped 51.4% over the past 52 weeks, is truly doubtful.
Beijing’s maneuver comes at a time when Asian stocks slumped to their lowest since December 2004 on fears that government bailouts may not be enough to prevent a worldwide recession. And with China’s reliance on exports to the West, concerns run deep on the country’s ability to sustain its blistering rate of growth.
Despite worries, China’s commercial real-estate market sees no signs of letting up.
In July, Merrill Lynch raised China’s three-year infrastructure projections from $400 billion to $725 billion - an increase
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