From the desk of Steve Strazza @Sstrazza
Our Top 10 report was just published. In this weekly note, we highlight 10 of the most important charts or themes we're currently seeing in asset classes around the world.
China Dictates The Direction Of Many Diversified World Indexes
On a global scale, recent weakness has primarily been isolated to the Asia-Pacfic region. This region has in large part been weighed down by the Large-Cap Growth-heavy Chinese market; while many indices have decisively accelerated to the upside in recent months, China is still painfully below its YTD highs.
From our perspective, given the economic significance of China, we need to see buyers defend this key 45 level in the iShares China Large-Cap ETF. In this sense, the resolution from this level will likely dictate the bias for global markets in the coming weeks and months.
