By Shane Oliver, Head of Investment Strategy & Chief Economist from Oliver’s Insights, AMP Capital, Edition 24 2015

Key Points

  • Just as the rise in Chinese shares had little economic impact it’s hard to see the pullback having a significant economic impact either.
  • Chinese economic growth is likely to remain “around 7%” with monetary and fiscal easing helping.
  • The volatility in Chinese shares represents a necessary correction. Large cap shares are not expensive.
  • The main dampener on commodity prices – and Australia’s terms of trade – is not China, but supply.

Read the full article here.