China sneezes, world catches cold

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Almost all global markets are down since June 12, when China's stock market bubble burst. China's pain has been a gain for India, which is the only major global market in the positive territory. The Indian markets were largely unscathed, even as Chinese stocks were falling like ninepins. The Indian equities, however, failed to sustain these gains, as the rupee came under pressure after China stunned world financial markets by devaluing its currency. This triggered fears over the health of the world's second-biggest economy and global growth driver. The Indian market and the rupee are down three per cent each since the second week of the month, when China first devalued its currency. The fall has been less compared to other emerging markets of Indonesia, South Korea and Taiwan. Experts believe pressure on the Indian markets will continue, as the global investor's risk appetite has been hit by the developments in China.