The Stock Market's New Obsession: Is Shanghai A Leading Indicator?

Following last night’s big selloff in Shanghai, taking the Shanghai Composite decisively below 3,000, there’s a lot of chatter about whether Shanghai is a forward indicator for US stocks.

Here’s a zoom-in to the market’s crisis lows, and as you can see, Shanghai bottomed and started rebounding before the S&P 500.


But that’s just one data point. To actually establish a pattern, you’d want to see this kind of thing over and over again.

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.