Ashlyn Anderson, Lincoln Davidson, Lauren Dickey, William Piekos, and Ariella Rotenberg look at the top stories in Asia today.
1. Chinese government steps in to stop stock market slide. Authorities, who have spent the first half of the year crowing about high growth rates, launched a number of emergency measures aimed at slowing the market tumble. The People’s Bank of China announced this week that it would be helping the country’s margin trading service provider stabilize the market by buying more shares of small and medium enterprises. State-owned enterprises were ordered to not sell any of their stock, and corporate shareholders with stakes of more than 5 percent were banned from selling for six months. More than half the firms listed on the markets stopped trading, and another 38 percent hit the daily limit on price change, leaving just 11 percent of stocks in China tradable. Still, the rout of Chinese markets continued. Traders have responded with gallows humor, while some analysts have speculated that the precipitous drop in the markets might lead to social unrest. It’s unclear how far the markets will drop, but most analysts are predicting little systemic impact and a relatively quick return to growth. Read more »