news Chinese stocks crash again: Impact on domain market

[sandyhere]

Domain market has seen a historical boost in last year due to entry of large chunk of Chinese capital. Chinese economy facing major crunch has ignited domain market like never before.
For first time in Chinese stock market, we saw circuit breaker applied and trading was suspended for a day on 4th Jan.

http://news.xinhuanet.com/english/2016-01/04/c_134976602.htm

With 7% fall in stocks and wide depreciation of RMB against USD, do we expect another jump in domain market?
Is there any real relation between these entities or its just a matter of co-incidence?
Ball is set to roll...

Related:

• Thoughts on Chinese domains after the China stock market dives 7%
• Chinese domain market : Will China’s stock market crash affect it?

 

[TheWatcher]

Wow

 

[noonoo1]

That's a world wide game changer, repercussions will be vast!

 

[DaveX]

Very interesting.

 

[TheWatcher]

Investors are always looking to diversify, domains is one of many.

 

[jmcc]

2016 is going to be an interesting year for China. Still not sure how this will play out for Chinese regs.

Regards...jmcc

 

[DaveX]

US Stock Market down 400 points at this moment!

 

[jmcc]

Guess the registrars might have to cut the renewal fees if this keeps up.

Regards...jmcc

 

[TheBaldOne]

Glad I concentrate on future tech / science / medical rather than the so-called Chinese domains. Tech and financial stocks may be hardest hit in the US at the moment but I would rather have domains associated with them than play the gambler with so-called 'Chinese domains'.

 

[McDuke]

How much will their market drop when it reopens?

Too many bubbles globally, Balitic Dry index is a good indicator of what's to come.

2016 is going to be a wild ride.

 

[TheBaldOne]

The Chinese have various cut off points, 5% drop could see the initial close of business temporarily, but as I understand it this figure can be altered.

 

[SirDrago]

The Chinese have various cut off points, 5% drop could see the initial close of business temporarily, but as I understand it this figure can be altered.

True but IMHO it doesn't matter if it's 3% or 10% cut off.
Investors will panic and sell off any equity as soon as the trading floor is closed for transactions.

 

[1john2004]

according to chaomi prices for 4l.com/4L.net.... are rising again.

 

[joro001]

according to chaomi prices for 4l.com/4L.net.... are started to rise again.

Actually 4l.net and 4l.cn have both risen sharply in price and volume.
4l.com has barely budged at 14000 RMB and still has very little volume.

I expect that to change soon though as it's now way behind 4l.nets in % difference from .net to .com at 1800 RMB so can't see that lasting.

 

[21x20]

Just proves domains are more liquid than most other assets. There are no circuit breakers. There is no one to tell the Chinese they can't sell a domain if they want to, even if they want to sell at a loss or on a big down day. China locked up big holders of stocks for 6 months when market tanked this summer.

That's a big difference from their non-liquid market. Domains are also easier to buy and sell than real estate, gold or any other tangible asset. Only comparable to BitCoin.

 

[168]

Just proves domains are more liquid than most other assets. There are no circuit breakers. There is no one to tell the Chinese they can't sell a domain if they want to, even if they want to sell at a loss or on a big down day. China locked up big holders of stocks for 6 months when market tanked this summer.

That's a big difference from their non-liquid market. Domains are also easier to buy and sell than real estate, gold or any other tangible asset. Only comparable to BitCoin.

Spot on!

 

[thetruman]

capitals flying away from stocks will have to land somewhere and domains is one privileged spot. Stock market down more domains bought by the chinese

 

[iAchilles]

China locked up big holders of stocks for 6 months when market tanked this summer.

This was due to be lifted in a few days time but there's a lot of chatter about a further extension. If I was a major investor i'd be furious right now. It will be interesting to see how the domain market reacts, it could well be a the catalyst for another big jump across the board.

 

[sandyhere]

This was due to be lifted in a few days time but there's a lot of chatter about a further extension. If I was a major investor i'd be furious right now. It will be interesting to see how the domain market reacts, it could well be a the catalyst for another big jump across the board.

Yah, I think, they have given signals that ban may be lifted on 8th Jan. Major shuffles expected as investors are holding their breaths for last 6 months.

 

[sOliver]

Stock market crashes and suddenly I get 5 offers in one day .. coincidence maybe but still