Comment by aeonfox
21 hours ago
> Every Chinese company is one recapitalization away from zeroing out the common stock owned by foreigners.
But in practice, wouldn't such an event on X large Chinese company have a cascade effect on stock values of all other Chinese companies?
Maybe, but China might not care too much.
They have precedence for cutting down their tech giants and their tuition industry recently.
Not buying that. If the most trade-dependent country becomes completely insular, it certainly wouldn't be overnight.
> tuition industry
Domestic trade doesn't really factor in here.