Chinese people are crazy about the buying and selling of stocks and shares, most of them takes pleasure in it and even sink half their fortune into the stocks. Last summer, however, people are hard hit by the fall in stocks. As stock price have dropped, so too has their property.

According to the news, “Chinese mainland stocks have been on a steep downward slope over the past months, shedding almost 40% since June.” Although the government has tried to inject money into the markets so as to reduce the lending rates and cracked down on the people who spread online “rumours”, people are still in a panic as the stock prices continue to fell. Many of them lost their shirt in the stock market, and many people would not buy stocks in the next few years.

As far as I am concerned, I do not think the government did a proper job in solving the problem. Firstly, as is shown in China’s factory data, the country’s growth is continuing to slow, some of the “rumours” may be totally true to some extent. The government should not ignore the fact and hide the truth from people to prevent false confidence in situation. Secondly, people should keep their eyes peeled and “Do not put all your eggs in one basket.” So that they would not lose all their money when the stock market crashes. Last but not the least, the government and people should trust each other and together build a stock market which operates well.

Reference: http://www.bbc.com/news/business-34105238