China has stopped making any dramatic economic headline.
The Biggest News is not being in the News; and No News is Good News
In 2015: it was all about China. From January to June: Chinese stock market was only going up but then after the middle of June - it looked like Chinese market will tank to absolute hell. Subah China, Shaam China...it was all about China.
When market was going up:
China Bull market is now the most important news in Global Financial market. 100% move up in just 10 months pic.twitter.com/NzITkio5KH
— Deepak Singh (@smarket) April 10, 2015
And when markets are good: news flow does not matter. The market was going up despite all the bad news
State of Global economy: China's exports slid 15% in March, imports dropped 12.7%
— Deepak Singh (@smarket) April 14, 2015
But then one day - party does get over and Chinese market started tanking:
Indian market this week: +0.8%
China this week: -5.3%
This is just 2 days in the week
Oops MSCI ka jhatka lag gaya china ko
— Deepak Singh (@smarket) June 16, 2015
Yes...the situation became so bad...
China is contemplating to shut down stock market for six months...WHAAAT
— Deepak Singh (@smarket) July 8, 2015
This how the whole year looked for China:
Now in 2016: you get a feeling that China does not exist more. No story, no headline...The Chinese market has disappeared from investment radar. There has not been a single day in 2016 when Global markets have tanked because of any economic headline from China. What surprises me the most: Nobody is worried about China anymore.
Emerging markets (MSCI EEM) going up despite lackluster performance coming from China. Here's the number: The Chinese stock market ETF FXI is down 11.3% Year to Date whereas MSCI EEM is up 13.5% Year to Date.
And even the Bigger story: The Biggest shock came to Global market when China dramatically devalued its currency in August 2015...exactly a year ago..The Global market panicked and sold off sharply. But what's shocking now...China has continued with devaluation and nobody cares anymore. This is USDCNY chart
Why I never follow any market experts and only price on the screen?
Because nobody has any idea what market will do in the future
"If I had just $1, I’d invest in China": Stephen Roach
— Deepak Singh (@smarket) June 26, 2015
How much this $1 would have become today 71 cents. The market will do what it has to do and the best guide is the price on the screen. It is important to be in harmony with the market
Please do let me know your views on the above.