LONDON—Any veteran investor will tell you that financial markets overshoot when trouble hits, but what if that market is the world’s second-largest economy and the regime has decided the rules of the game have changed?
The Chinese regime’s months-long regulatory clampdown has included big names in e-commerce, the gig economy, exam cramming and most recently online insurance. Close to $1 trillion in market value has been wiped off China Inc. since February.
