The amount of attention that the rising Chinese stock market received over the last one year is nothing close to the attention that the falling market has received over the past month or so.
While the markets have fallen by at least a fourth, which is more than what the Dow Jones Industrial Average (DJIA) fell on Black Monday, the fact is that this followed nearly a year of insane rise in the markets, the fact is that markets are still up 80% over a year ago.
I hereby present two charts. Both are time series and hence drawn as lines, and both start from 1st of January 2014. The first shows the SSE Composite Index (refer to Yahoo finance for a more interactive plot. I couldn’t embed the chart here).
I don’t think I need to explain much further. On the way up, there was little commentary on China’s markets, apart from that there might be a bubble. On the way down, though, there is so much more!
The asymmetry in markets is rather intriguing!