The first year of trading in 2016 for global markets and stocks in China crashed 7 percent, triggering circuit-breakers and halting trade. Global markets rattled as factory activity in the country shrunk for the 10th straight month.
Back home in India, bulls ran for cover on Dalal Street as the fear factor returned, with major indices tanking 2 percent, the biggest single-day fall in four months.
Nilesh Shah of Kotak AMC says China is one factor that the markets will have to watch out for and unfortunately for India, it is still a part of BRICs and for global Emerging Markets Fund, the topic ends there. He says: "India needs to differentiate itself from China. Also, the market is seeing negative headlines from Russia and Brazil too."
