Dwindling China Margin Debt Shows Traders Skeptical of Rebound
- China’s margin debt has fallen for 17 consecutive weeks
- Volume unlikely to rise unless rally sustainable, analyst says
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The biggest Chinese stock rally since 2015 wasn’t enough to revive speculative interest among the nation’s army of investors.
The balance of margin debt on the Shanghai and Shenzhen stock exchanges fell to 826.3 billion yuan ($120 billion) on Friday, the lowest in more than two years and a 17th consecutive weekly decline. That’s even as the CSI 300 Index jumped 5.2 percent during the week.