Don't ask me.
Sure, a few stocks unexpectedly crated last week only to recover everything and more yesterday. And, sure, these are relatively lightly-traded stocks of companies controlled by individual people who have much to gain and lose by such movements. And, yes, that all sounds kind of suspicious. But, really, who’s to say something’s amiss here? Certainly not Hong Kong’s regulator. And not even the guy who lost $14 billion while on a business trip.
Shares of Goldin Properties, which lost 40 percent last Thursday, were up 43 percent on Tuesday. Shares of a related company, Goldin Financial — which, like Goldin Properties, is controlled by the billionaire Pan Sutong — plunged more than 40 percent last Thursday. And a day before that, shares in the Hanergy Thin Film Power Group, a solar equipment manufacturer controlled by the Chinese billionaire Li Hejun, fell 47 percent before trading in the stock was suspended. All three companies have offered no explanation. Regulators, too, have been quiet….
But on Friday, Ashley Alder, the chief executive of the Securities and Futures Commission, Hong Kong’s main market regulator, said the volatility did “not necessarily imply there is a rise in market manipulation or other misconduct.”