'Black Monday' one year on: China currency fears abate but debt levels flash warning signals

Less focus on renminbi depreciation

Investor sentiment towards China has improved during the 12 months since last August's 'Black Monday' sell-off, with renminbi depreciation no longer the focus of global angst, but concerns remain that high levels of debt-fuelled growth could be storing up problems for the future.

A rout from Chinese equities culminated on Monday 24 August 2015 with a 9% fall in the value of the Shanghai Composite index, with contagion spreading across global markets. The sell-off was fuelled by a move by China's central bank to change the market mechanism for setting the renminbi's daily fix against the dollar on 11 August 2015, leading to a 3% devaluation against the greenback. Mansfield Mok: Continued rise of China's tourism sector still a boon for investors Bearishness on the region led foreign investors to pull $700bn over 2015, despite the Shanghai Composite recovering...