Comments on: Stock volatility datapoint of the day, Shanghai edition http://blogs.reuters.com/felix-salmon/2009/08/31/stock-volatility-datapoint-of-the-day-shanghai-edition/ A slice of lime in the soda Sun, 26 Oct 2014 19:05:02 +0000 hourly 1 http://wordpress.org/?v=4.2.5 By: VennData http://blogs.reuters.com/felix-salmon/2009/08/31/stock-volatility-datapoint-of-the-day-shanghai-edition/comment-page-1/#comment-6128 Tue, 01 Sep 2009 00:48:42 +0000 http://blogs.reuters.com/felix-salmon/2009/08/31/stock-volatility-datapoint-of-the-day-shanghai-edition/#comment-6128 Arbitrage Pricing Theory implies that factors making up the asset’s price will mean assets will affect each other if they share “factors.”

China is not “connected” to the US market, you can’t invest in it, you can’t hedge it, and you can’t hedge their currency.

It’s beholden to their gov’t. It’s a dictatorship. If there’s a correlation, it’ll last as long as asset correlations last, and that length of time is indeterminate.

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