US and Chinese Insiders Selling the Rally

iFeng: 外国知道内线的人都在抛售股票？ 看完你就明白了

In addition, Barclays strategist Jonathan Glionna it believes that the current number of companies to buy back shares is financed by issuing bonds, if credit conditions tightened, companies will be unable to obtain sufficient funds. This phenomenon after the rate hike from the Fed indeed occur. Merrill Lynch also said that customers do not believe that this wave of stock market rally, continued to sell stocks. In this bear market rally, "one insider funds" record seven weeks to sell the stock.

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In fact, China A-shares also have this phenomenon, this week a number ofA-share listed companies, including powerful new material, Hingsen science and technology, as well as to the share price increase rapidly Qtone Education, have announced insider selling, and the amount of the sales are all more than 100 million yuan.

In 2015, Qtone Education's (300359.SZ) share price increased five-fold from 50 yuan up to 250 yuan, becoming the first high-priced A-share. The notice says insider Ze Jiameng held more than 5% of shares, but between February 18, 2016 and March 21, he sold 5.5 million shares, representing 2.17% of total share capital, at an average price of 72.24 yuan, a cash value of 397 million yuan.

...China is striving to create a positive environment for stock market investment, but one after another, insiders cash out at current prices, another rise in A-shares is in doubt.

Barron's: Barclays: Wider Credit Spreads Could Portend End of Buyback Era

We believe a widespread reduction in share repurchase activity is one of the factors that allow corrections to turn into routs.