18 Work on What Has Been Spoiled (Decay) (Part III)

The wind blows low on the mountain:
The image of DECAY.
Thus the superior man stirs up the people and strengthens their spirit. [W/B]

On Tuesday, June 7th the Junzi (superior man) in the form of our Prime Minister finally came out to confirm that the rogue traders and the sudden withdrawals of share margin financing by banks had caused the recent plunge in share prices. He had called upon the National Bank last week to have a word with local bankers who thereafter held the press conference as reported in Work on What Has Been Spoiled (Part II).

The Prime Minister also took to task one of the local major banks which appeared at the said press conference why it had increased its non margin able shares list from 20% to 50% of all counters quoted in the share market as included in the list were many companies that are healthy and profitable. (Surely the sincerity of the bank is questionable under the circumstances.)

He also mentioned that there were no good reasons why banks which had suffered losses caused by inappropriate financing of overvalued shares of a company (refer to entry on Work on what has been spoiled) should at short notices pull credit lines off other investors and major shareholders of other companies. With insufficient time to arrange alternative financing, many of these investors and major shareholders had their shares forced sold and as a result suffered heavy losses over the past two months.

He is now leaving it to the regulating authorities to propose ways to deal with the problem. (Sounds much like the fifth line of Hexagram 18?)

His (much awaited and welcomed) announcement and reprimand were splashed on front pages of the national and business newspapers. This was good enough to comfort the investing public that the regulators will finally do something positive to shore up and bring back confidence to the depressed share market. The investors, including yours truly, supported his actions by buying the shares that were battered recently for no exceptional reasons except those explicitly stated.

By his actions, it appears that the Junzi has brought the unfolding of Hexagram 18 to its end? [Also compare what he has done with the above Image.]

The Yi had also told me earlier this could be the right moment (cue) to buyback some shares.