CNN – Hong Hao, a prominent market analyst in China, quit the state-owned bank he worked for just days after his social media accounts were shut down following negative remarks he made on the economy.
Tencent’s WeChat froze Hong’s public account over the weekend after posting huge capital outflows from the country and making bearish predictions on the Chinese stock market.
Hong was managing director and head of research at BOCOM International, the Hong Kong-based investment banking arm of Bank of Communications, China’s fifth-largest bank.
A BOCOM International spokesperson told CNN Business on Wednesday that Hong resigned from the company for personal reasons.
Hong declined to comment. His Weibo account, which had more than 3 million followers, was also deleted over the weekend.
Covid lockdowns have weighed heavily on the world’s second largest economy. The latest government survey data – released on Saturday – shows activity in manufacturing and services falling to its lowest level since February 2020.
Beijing’s zero-Covid policy and its crackdown on Big Tech have triggered unprecedented capital flight from foreign investors in recent months. The yuan recently plunged to its lowest level in 17 months.
It is still unclear which of Hong’s posts triggered the social media ban.
The latest reports posted on its WeChat public account were titled: “Beware of capital flight” and “What should Chinese ADRs be worried about.” ADRs are securities issued by Chinese companies listed in the United States.
Hong warned in the reports against the dumping of Chinese stocks by foreign investors and drew attention to the most serious capital outflow since the start of the pandemic. He also blamed China’s tech crackdown, rather than new US rules on foreign company listings, as behind an epic sell-off in Chinese ADRs in March.
In another note from March 21, Hong also predicted that the Shanghai Composite would fall below 3,000 points.
Last Monday, the Shanghai Composite fell below 3,000 for the first time in 21 months, as rising Covid-19 cases in Beijing raised fears that the Chinese capital could join Shanghai and other major cities. in confinement.
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