Chinese Stocks Drop To Lowest Since Jan 2009; Down 20% From Feb Highs

With US equities 7.5% off their all-time highs and on the verge of instigating a 'Markets In Turmoil' special, we thought it perhaps of note that the growth engine of the world continues to see real turmoil. Short-term funding rates remain elevated (7-day repo jumping 240bps to 10% today) as the 'engineered' credit crunch continues for China. The Shanghai Composite opened down today, crossing the 20% drop level from the recent Feb highs (and -16.5% in the last 16 days!) pushing the index to its lowest level since January 2009.

 

 

Charts: Bloomberg