Chinese Stocks Haven’t Been This Calm Versus U.S. Since 2011
- CSI 300 remains less volatile than S&P 500 since early March
- Stock leverage highest since 2016 on bets rebound will last
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Stock investors wanting to preserve capital could do worse than look to China, whose relative stability stands out against the chaos in global markets.
The country’s equities have gone back to the upward grind that has marked past rebounds since a bubble burst in 2015. The calm has allowed the CSI 300 Index to post at least 14 up sessions in June, the most for any month since November 2016. Thirty-day volatility has remained below that of the S&P 500 since early March, the longest stretch in more than eight years, while a gauge of expected swings on large caps is about 10% lower than the VIX.