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The Securities and Exchange Commission is dragging its feet on implementing a new law to kick opaque Chinese companies off U.S. exchanges, several GOP lawmakers claim. Meanwhile, leading Wall Street firms continue to funnel U.S. investor dollars to untrustworthy Chinese firms through various investment vehicles even as the risks continue to rise. Chinese companies listed on U.S. exchanges lost $400 billion in July alone, according to the Wall Street Journal, as the CCP expanded its regulatory attacks on various industries.
First, the Chinese authorities crushed China’s largest ride-share company, Didi Global, just days after Wall Street firms helped it raise over $4 billion in a U.S.-based IPO. Beijing then attacked its online gaming industry, decimating the valueof tech giant Tencent, which along with three other of the biggest Chinese tech companies lost an estimated $344 billion of value last month. Then, Chinese officials banned all foreign investment in private tutoring, costing those companies tens of billions in market value.
“That’s life in the fast lane,” JPMorgan Chase CEO Jamie Dimon told Fox Business last week when asked about the startling losses caused by Chinese President Xi Jinping’s regulatory crackdowns. “I’m not breathless over it. … I am not as worried about China as everybody else.”