International Investing

No change in policy, no leader died, pure panic:

The biggest drop in China’s benchmark stock index in a decade wiped out more than $100 billion of market capitalization and sent ripples through other Asian markets…the Shanghai Composite Index hit a new record high, it plunged 8.8% on Tuesday to 2771.79, on what analysts said were widespread efforts by investors to cash in on big gains and avoid any government attempts to cool the markets. Tuesday’s drop was the biggest in percentage terms since an 8.9% fall on Feb. 18, 1997, triggered by rumors that then-paramount leader Deng Xiaoping had died, a day before he actually did.