2015-06-22

No More New Stock Accounts Data

I used to post on the Baoshan steel index back a few years ago. Then at the end of 2012, with steel prices turning decisively to the downside, the index stopped updating. Now the new account data in China's stock market has stopped updating.

ZH: China Must Be Getting Really Nervous To Do This
One of the most stunning data points of the ponzi bubble called Chinese Stock Markets has been the greater-than-exponential rise in the opening of new retail stock trading accounts in the last few months. If ever there was a better indicator of speculative excess or a government policy out of control, it was the pace of new account openings. So... when we discover that after 8 years of weekly data provision, China Securities Depository & Clearing (CDSC) Corp has decided to discontinue the time series - it is clear China is getting very worried.

Speaking of steel, from October 2014: China steel now as cheap as cabbage, weighing on global price
The average price for the range of steel products on offer has fallen to 3,212 yuan ($520) per metric ton for the first half of the year, down 28% from the average price in 2012, CISA data showed.

And as a People’s Daily report said Monday, the price level means the steel is now almost as cheap by weight as Chinese cabbage.

This past week: China Deepens Steel Cuts as Iron Bull Market Crushes Profit
Chinese steelmakers are deepening the first production cuts in a quarter century as the bull market in iron ore drives up costs and squeezes profits.

Crude steel output will shrink as much as 2 percent this year, according to the China Iron & Steel Association. That’s lower than the group’s March estimate of a 1.1 percent decline and would be the first contraction since at least 1990. An acceleration in raw material costs and a collapse in steel prices has pushed the Bloomberg Intelligence China Steel Profitability Index to the lowest in almost seven years.

After decades of rapid growth spurred an unprecedented expansion in steel production, China’s now grappling with excess capacity as a property-led slowdown crimps demand. A contraction by the nation’s mills will be a boon to steelmakers from Brazil to the U.S., who say record exports from China are destabilizing the global market.

Here's the most update chart of new stock accounts, along with the Shanghai Composite, as of May 29:

While we're on the subject, another site I use to check on daily margin trading hasn't updated since May 20, yet until the end of April, it had updated almost daily.

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