China’s Slowdown Is Being Ignored by Global Macro Managers
- US economy’s strength distorts view of Chinese assets
- Fund mangers’ exposure to China is lower, more bearish
Downtown Shanghai.
Photographer: Qilai Shen/BloombergThis article is for subscribers only.
Global financial markets are showing few signs of fretting over all the negative headlines from China, however discouraging they may seem.
While some corners of the world have felt the pinch, overall risk appetite has weathered China’s economic slowdown, credit-market stress and foreign-exchange turmoil. Global stock returns are in the mid-teens year-to-date, high-yield credit has outperformed and the Bank of America GFSI Market Risk indicator is near the lowest levels of the year.