The market for Chinese shares, which has seen a dramatic rise in the past year, is one that many believe is set to take a sharp turn.
With a number of major companies and institutions under pressure, the Asian stock market is expected to be the hottest market in the coming years, with the S&P 500 and the Nasdaq Composite all set to rise to record highs.
With China’s economic slowdown already bearing down, a slowdown in growth in the rest of the world is expected as well, which could further fuel an upsurge in the price of commodities such as iron ore, coal, wheat, steel and copper.
The S&s Dow Jones Industrial Average, the most important gauge of the global economy, is currently above 11,000, the same level as it was at the start of the year.
The Shanghai Composite, China’s benchmark index, has risen above 20,000 since the beginning of the month.
The Dow Jones industrial average is based on the daily average of the top 40 American and foreign stocks in the S & P 500 and is compiled from publicly traded companies listed on the New York Stock Exchange and a few smaller U.S. indexes.
It has a total market cap of $2.9 trillion and has grown to $6.8 trillion this year from a little over $2 trillion in 2016.
The Nasdaq is the most commonly traded stock in the United States and is the world’s largest market by market capitalisation, with $9.5 trillion in market cap, according to data from Bloomberg.