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Shanghai Rout Not Even Close to Done: Magnus Sees 35% Drop



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Chinese equities will extend their rout by as much as 35 percent, taking the Shanghai gauge to half of last month’s peak, according to George Magnus, a senior independent economic adviser to UBS Group AG.

“We’re going back to where we came from,” Magnus told Bloomberg TV from London on Thursday. “The Shanghai Composite is going to go all the way back down to around 2,500-2,800,” he said. The measure closed at 3,823.18 on Thursday, after tumbling 26 percent since June 12.