Investors folded on Macau casino stocks after Suncity Group, the spot’s VIP junket company that is biggest, reportedly warned its employees to take extra caution when moving money to the Chinese enclave where video gaming is permitted.
Billionaire Steve Wynn had been one of many casino magnates whom lost money on Monday, as Macau casino stocks dipped on continued uncertainty about the ongoing future of VIP junket operators. (Image: Vincent Yu/Associated Press)
Wynn Macau, traded on the Hong Kong Stock Exchange, lost almost five percent of its share price regarding the news. Galaxy Entertainment was down more than three percent, and MGM China, Sands Asia, and SJM Holdings all saw their valuations dip by at least two %.
According to Barron’s, a financial newspaper, investors are fleeing on concerns that China’s anti-corruption https://lightninglinkslots.com/ campaign is soon to target VIP junket operations, for years a vital part of drawing high-stakes players to various Chinese casinos. President Xi Jinping has been trying to stop the movement of cash from the mainland to Macau, a former Portuguese territory that is today a tax haven where casinos regularly appeal to the Asian elite.
‘Investors are concerned that the Suncity warning could preclude another crackdown on the industry,’ Barron’s columnist Daniel Shane composed.
Suncity Group warned employees recently to just take extra precautions whenever money that is moving aContinue reading