Jerome Powell's Federal Reserve has long pivoted back to being super dovish. The 10-year yield has dived to about 2.6%. And markets have since been lulled into seemingly churning upward each day to reach the fall 2018 highs, absent the daily swings that traders at the investment banks crave. Hey, they have to get paid people.
China A-shares are still light years away from their June 12, 2015 peak. But as long as the locals are buying in on Xi Jinping outwitting President Trump, and Wall Street bets on more stimulus, Shanghai and Shenzhen indexes will remain in beast mode. Forget weaker growth. Investors are long China. It surpassed Brazil as the darling of global investors roughly four weeks ago.