Is the fall of the Chinese stock market temporary?
China’s blue chip index, the Shanghai Composite, fell 0.39% on Friday, while Japanese Hang Seng rose 0.28%. the Chinese index lost 3%, recording the largest decline since the market collapse in January 2016.
It seems that the RBA does not seem eye to eye with the market on the monetary support. Investors are likely to “sell” the Central Bank rate increase at the next meeting. At the same time the AUD/USD continues to conquer the peaks.