I agree. These desperate actions might indicate a more desperate situation.
From the Chinese people I know, and from my experiences over there, I get the sense that things could be far worse than what is widely assumed. The official economic data is heavily manipulated, if not fabricated at times, and estimates of their debt are huge.
Servicing debt is sapping investment, and the market was the only place to get returns that outpaced very high interest rates on debt. I think the market was working as a crowd sourced bailout.