Top down approach of controlling volatility in financial markets

Where else could you have seen this other than China? It seems that the Chinese government is reluctant to let the volatility in financial markets affect the Olympics in any way. That is why the Chinese market regulator has issued a not-so-open warning to financial analysts in China to avoid making any public statements which would increase the volatility of the markets. Which in essence means that analysts can't give a sell (or is it underweight :-) recommendation and they will have to agree with the government that everything is fine in Chinese equities.

Its good to be an analyst when you have been told the results before your analysis. You save a lot of efforts this way :)

The FT story on this is available here