For a decade, Gordon Chang has been telling anyone who would listen that China’s economic boom was built on fake numbers and nonsensical economic activity like building empty cities that have no reason to exist.
The Peking ducks have come home to roost. Most of the stocks on the stock exchange were halted to prevent a faster collapse as people who speculated on margin are forced to sell stocks to meet margin calls.
The long term issue is this could break the spirit of the Chinese people who thought the Chinese market was more than just a mirage
Somewhat related, demand for oil is collapsing, and the end of sanctions against Iran will flood the world with more oil. At the current prices, costly oil extraction techniques like oils sands and fracking can’t compete.