Sunday, July 05, 2015

Shanghai Cliff Diving

by Bill McBride on 7/05/2015 11:45:00 AM

Note: The polls in Greece close at noon ET, and early results might be available around 2:30 PM ET.

The WSJ has a running discussion: Greek Referendum — Live

Paul Krugman wrote this morning: Meanwhile In China

I am, of course, anxiously awaiting the results of Greferendum, although the next few days in Greece will be terrible whoever wins. But we shouldn’t lose sight of other risks facing the world. ... in the past month, mainly in the past few days, the Shanghai stock index has fallen almost 30 percent.
This graph shows the Shanghai SSE Composite Index and the S&P 500 (in blue).

Shanghai CompositeClick on graph for larger image.

The SSE Composite index is at 3,686.92, down almost 6% on Friday, and down close to 30% from the recent peak.