The Shanghai index gained nearly 5% overnight, the biggest one day move upwards in 6 months. US Futures, after a few rough days, are pointing higher.
I wonder if Global market leadership is shifting — It used to be that whatever the happened in NY would move the global markets. Now, the leadership role seems to be moving from a US-led world towards China being the market leader.
Perhaps this is only temporary. Time will tell.
Here’s Bloomberg:
“Stocks in China rose the most in six months, driving the yen and Treasuries lower, on speculation the government will adopt measures to boost equities after the Shanghai Composite Index fell into a bear market.
The Shanghai gauge gained for a third straight day, closing 4.8 percent higher, while the MSCI World Index of 23 developed countries advanced 0.2 percent at 11:40 a.m. in London. Futures on the Standard & Poor’s 500 Index climbed 0.4 percent before a report that may show the pace of contraction in U.S. service industries slowed. The yen weakened against all 16 of the most- traded currencies and the yield on the U.S. 10-year note climbed 3 basis points.”
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