China Stocks Likely to Fall Further, Citigroup's Apabhai Says

The transcript discusses the ongoing concerns about trade and its impact on global markets, particularly focusing on the reactions of the SNP, dollar, renminbi, and Chinese equity markets. It highlights the potential for further market declines due to trade tariffs and analyzes the behavior of Chinese investors, who are influenced by factors such as deleveraging and finance availability. The discussion also touches on market predictions, including the performance of emerging markets, the Hang Seng, and the CSI 300, as well as the influence of US midterm elections on market momentum.

What has been the typical market reaction when trade tariffs are announced?

• The S&P falls, the dollar weakens, and the renminbi strengthens.

• The S&P rallies, the dollar gains, and the renminbi falls.

• The S&P falls, the dollar gains, and the renminbi falls.

• The S&P rallies, the dollar weakens, and the renminbi strengthens.

What is the expected impact on the Hang Seng index if emerging markets drop by another 5.5%?

• It will fall to around 20,000.

• It will remain stable at 28,000.

• It will fall to around 25,900.

• It will rise to around 30,000.

How have Chinese Internet stocks been behaving in the market?

• They have been stable with no significant changes.

• They have been ignored by the market despite bullish analysts.

• They have been consistently supported by the market.

• They have been declining due to lack of analyst support.

What has been a significant factor in the bearish sentiment among Chinese investors?

• The trade war alone.

• Deleveraging and financial constraints.

• Rising market volumes.

• Increased availability of finance.

What percentage of peak 2015 volumes are current Asian market volumes in China?

• 75%

• 10%

• 25%

• 50%