Stocks Crash On Shanghai Composite – The Numbers In Context

Sierra Investment Management’s Frank Barbera, co-portfolio manager of the Sierra Core Retirement Fund, has published his latest piece “Stocks Are Crashing in Shanghai.” He writes: “In China, the Shanghai Composite plunged again on Wednesday even as regulators worked feverishly to contain a crisis that has now erased trillions of dollars in market capitalization from the country’s stock markets.” “In 12 straight days of decline, the unwinding of huge quantities of margin debt – which had soared five-fold in recent months – has been a big component underpinning the speed and persistency of the stock market collapse.” Stocks Are Crashing In…