Editorial: Regulators Must Identify the Source of Financial Risks
Recent sharp declines in U.S. stock prices have triggered strong shake-ups in global equities markets. The Chinese stock market also has seen effects.
Thanks to good economic fundamentals at home and abroad, domestic investors have not panicked. But some commentators are concerned that the current policy of controlling financial risks will exacerbate the market volatility. Others directly blame financial deleveraging for plunges in the Chinese stock market. This view has missed the key point and presented a distorted view of reality.
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