With a difference two years makes. The Chinese stock market was truly something to behold. I recall vividly watching on CNBC one particular segment where farmers remarked that trading the stock markets was far easier than farming.
Warning signs don’t come more vividly than that.
As always, the party in China soon ended as markets deflated. I was a value investing seminar in Italy where a fellow investor asked me just what was going on in China. After all, trading activity had dropped dramatically with a multitude of the largest companies being suspended for falling too much.
I was relatively unscathed from the fallout initially. Unfortunately, the fallout from the unwinding of the Chinese bubble affected regional bourses in Asia.
Let me just add in a word here.
Its always easy to talk about how fundamental values and stock market values don’t move in sync, and that as a value …