If you are going to reference the Shanghai Stock Exchange, you should also be aware of what China is doing to prop up its stock market.
China is heavily dependent on the real estate boom as an engine of economic progress, which is not so much a boom as it is a fraudulent government housing program. The fraud in the Chinese real estate market is immense, far outdistancing what goes on in the USA. Housing and infrastructure has been built without a market to occupy it. According to reports a number of Chinese involved in the fraud, and also part of the government there, have left the country, since China has some rather severe penalties, including death, for those engaged in massive fraud.
It’s all smoke and mirrors though since currently one of their central government rulings in the financial markets is that sell orders are prohibited. We’ll leave you to do your own DD on that, but to say that the info is available if you have the interest to investigate, but will point you to a recent article by Graham Summers.
It’s like the Hunt Bros. here who nearly cornered the silver market only to have the COMEX rule that buy orders were prohibited. Crooked regulators are to be found regardless of country or origin. It will all end badly in China, just as it will eventually here where central control of the commodities market has replaced the free market. None of this speaks to a “correction” when manipulation exceeds the ability of the manipulators to stem the tide of a massive “correction”. A number of accounts have described what is happening in China as more of a plunge that has wiped out 40% of recent gains bought on margin with more to come.
When will a massive turn-a-round in the PM markets occur? Nobody knows. However history says that it WILL. Fiat money only has a future of ZERO value and the Chinese stock market appears to be losing momentum that will cause it to turn downwards.