Still, I learnt via today's Financial Times that the losses at Chinese state owned enterprises accounts for much less than 1% now of the Chinese economy. A few years ago their transition was perceived to be a huge problem...the wonders of the market economy.
An important story here notes that:
'The Shenzhen stock exchange has reportedly submitted a plan to link with Hong Kong’s stock exchange, according to a report from the China Daily. The plan is similar to the program between the Shanghai and Hong Kong stock exchanges, in another move which will further open up China’s markets'
It is interesting that the Shenzhen and Hong Kong stock markets have performed in a surprisingly akin manner in the last five years. Undoubtedly more arbitrage opportunities exist at the stock level.
Outside of China I am still watching the yen with great interest. Big levels currently - and it my opinion it should weaken further: