TekToniKshift

China May Implode, But Broader Impact Would Be Limited

Several factors may precipitate a severe China stock market correction. An inefficient and grossly miss-manged banking system. Strong inflationary trends. Rising social unrest. Severe income disparity.
Any misstep by party leaders can trigger a loss of confidence in the "system".
China stocks will "correct", the question is when. The correction will hurt US markets and all commodity producers, the question is how deeply and how long.
How to play: diversify across several emerging markets and large cap industrials. Plus take some profits on the way up.