Deutsche Bank: Chinese Stocks Are More Distressed Than During the Financial Crisis

Investors are pricing in a crisis.

With concerns about a hard landing in China playing the starring role in the risk-off environment that’s dominated so far in 2016, it’s no surprise that equities in the world’s second-largest economy have fared particularly poorly.

In local-currency terms, the Shanghai Composite is down almost 17 percent this year, far underperforming the MSCI World Index’s 7.5 percent retreat.

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