[Zannn]

Find this piece of news very interesting...I think .many investors may have missed it

We are told China is in a property slump and this will go on for long time. There are ghost cities and people pay money for homes not delivered. ..and more homes than people etc.

The above gives narrative which we hear often seems to say its a bad idea to buy a home in China prices will just keep going down. ...it's in a crisis.

But read the article below existing home sales is hitting record levels. What does this tell us? Demand is there after prices drop by 20-30%. This goes against the widely believed narrative that prices will keep sliding down.  What happened is buyers are afraid to buy from developers who may not deliver the homes. But at the current prices there is actually demand.

This is a process called price discovery in a free.market. so long as govt don't interfere prices will drop to a level where there is demand and the sector can stabilise and start normalising.

China main problem is debt...local govt debt needs to do something drastic to solve.


https://www.scmp.com/business/china-busi...-new-flats

Very interesting but can u share more on this W long trade u took above 16950 and how it will pan out in todays Hsi trading? Very interesting to learn this W from u