Not only the Chinese at large have to worry about the potential end of the Chinese rally and that the almighty People Bank of China (PBOC) comes to the rescue.
Australia is one of the countries whose fortune are linked to China (thanks to our smart politicians!). So a Chinese market crash threaten directly Australia.
But specially if you think that the Chinese got rich with margin loan on the stock market and then diversified investing in real estate property in Australia…if a margin call is coming ….first thing they will sell is their investment/holiday house in Australia.
Exactly what happened in Melbourne’s Mornington and surrounding during the Global Financial Crisis.
So also Australian should cheer the PBOC intervention!
Welcome to the global economy…almost a “butterfly effect”!
investorpolitico 