Monday saw seventy-eight of China’s wealthiest citizens lose an eye watering $72 billion in a single day of trading after shares tanked across the board.
The loses have mainly been attributed to the conflict between Russia and Ukraine.
There were losses on stock markets around the globe however the Chinese market bared much of the brunt due to the consensus that China’s government has aligned to support the Russian government in the conflict.
These suspicions were further exacerbated on Monday with the announcement from U.S. officials that Russia half asked Beijing for assistance with the war in Ukraine.
This is the largest drop in Hong Kong’s stock market since the 2008 global financial crisis, while the Hang Sang tech index tumbled 11 per cent which is the largest drop in its history.
As a result, Chinese businessmen suffered, with China’s richest man losing $7 billion.
A Chinese market analyst has written that “due to rising geopolitical and macro risks, we believe a large number of global investors are in the process of reducing exposure to the China internet sector, leading to significant fund outflows from the sector.”