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CHINESE SALES TRENDS FOR APRIL 5, 2016

April 5th, 2016 by Patricia - DomainBELL

By Travis M.

I received Giuseppe’s newsletter today, and it was a good one. He recently travelled to China and met with some local businesses like 4.cn and 62.com about the current state of the domain industry. If you haven’t checked out the article, see it here. One thing he mentions is that many Chinese investors purchase domains on credit — with ridiculous interest rates. This is similar to the way many Chinese investors use lots of margin to invest in the stock market. It is a recipe for wild swings in any market, because people panic at the slightest downturn in prices. You can’t afford to pay 14% to 24% interest rates unless the underlying asset you are purchasing is moving in one direction -> up. The holding costs are just too large to sit on the assets for long. He also says that there are a lot of people with funds available and waiting to make their move. I wonder what they are waiting for specifically.

4i.com average got a massive boost from ttjh.com which is reported to have sold for $7692. The average when you throw that sale out …read more

Source:: DomainShane.com — Domain News

      

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