“In the near future we can expect more thrills and spills from the Chinese stock market,” Khalaf added.
“The slide indicates that the Chinese authorities are perhaps reducing capital inflows following their frenzied measures to support the stock market three weeks ago.” said Nigel Green, CEO of deVere Group.
“It appears that, unsurprisingly, those measures are unsustainable in the longer-term, that the market is currently vulnerable without government support, and investors remain uncertain of the situation,” he added.
“This latest crash is another chapter in the China slowdown story. The unfolding situation in China is likely to create volatility in the financial markets until the end of the year. With this in mind, investors should consider ‘China-proofing’ their portfolios to manage risk and benefit from the inevitable buying opportunities,” Green said.
