Wall Street is finally waking up to the reality of China
This week, the Chinese Communist Party dealt a humiliating blow to Wall Street, by crushing a major Chinese tech firm days after its IPO in which investors had invested 4.4 billion dollars On July 2, just two days after Goldman Sachs, J.P. Morgan and Morgan Stanley launched an initial public offering for the Chinese ride-hailing app Didi on the New York Stock Exchange, Chinese regulators cracked down on the company hard. Citing data privacy concerns, the Chinese government ordered the removal of Didi’s app from app stores, pending an opaque national security review process. As a result, investors have lost 30% of their money in just a few days It’s a watershed moment that has even the most die-hard Wall Street China boosters finally admitting that the game has fundamentally changed. Until now, many in the financial world wanted to believe the Chinese Communist Party was fundamentally pragmatic. They insisted that Beijing would never risk its economic development by killing its Wal...