Monday, August 31, 2015

"China Pins Market Plunge on Financial Journalist, airs ‘confession’"

Gotta watch them scribblers.
From the Washington Post:
What's roiling China's stock market? A journalist, apparently. 
Wang Xiaolu, a reporter for a respected Chinese business magazine, "confessed" to causing chaos and panic in the markets, state media reported Sunday. 
In footage broadcast Monday morning on CCTV, China's state broadcaster, a weary-looking Wang said he obtained information about China's securities regulator "through private channels" and then added his "own subjective judgment" to the report. "During a sensitive period, I should not have published a report which had such a huge negative impact," he said. 
The high-profile — and deeply problematic — forced apology came amid abroader crackdown as Chinese authorities struggle to cope with the fallout from the Tianjin blasts and the ongoing stock crisis. Wang is one of 197 people recently punished for spreading rumors, Xinhua reported. 
Since an epic stock boom went bust this summer, China's government has struggled to contain the crisis, ordering the press to downplay the story, and periodically singling out scapegoats, from hostile foreign forces, to "malicious" short-sellers, to the U.S. Federal Reserve and now, the press.  
If "privately gathering information" and then adding a "subjective judgement" sounds a lot like good journalism, it is.  Wang's crime appears to be publishing accurate information on a matter of public interest — but without a go-ahead from the government. 
In July 20 story in Caijing, Wang wrote  that the China Securities and Regulatory Commission (CSRC) was weighing whether to stop stabilizing share prices.  The CSRC denied the report the day it was published, calling it "irresponsible."...MORE