There is ample empirical evidence suggesting strong winds and sky high stock markets don’t mix, especially around this time of the year. An important anniversary is approaching, which should remind us.
But it’s different in China. Obviously.
Typhoon Wipha, was due to pass close by Shanghai on Wednesday, causing 2m to be evacuated ahead of what was forecast to be the most destructive storm to hit China’s eastern seaboard in a decade.
No matter. A more important event to IPO-hungry locals appeared to be Bank of Beijing - the first major “city” bank to land on Shanghai. That said, the flotation, which raised 15bn yuan, was only over-subscribed to the tune of 127 times, so the price just doubled to 22.68 yuan.
That’s a poor show by local IPO standards, which we might attribute to inter-city rivalry between Shanghai and China’s capital.
But, as Dealbook points out, at 141bn yuan ($19bn) it’s still bigger in market cap terms than poor Bear Stearns.
