Rethinking China: Xi’s Power Play Could Bring Down Stocks Even More

Chinese stocks have lost roughly half their market value, or almost $1.5 trillion, over the past two years. But the damage may not be over as investors reassess their China allocations after President Xi Jinping secured a third term and cleared the top ranks of leadership of anyone representing different ideas or interests.

Adding to the concerns: U.S. officials have highlighted China as the biggest security risk facing the country. That comes as Xi’s latest five-year plan prioritized more equitable economic growth and self-reliance as both the U.S. and China view their relationship through a national security lens.