Which European stock markets are most exposed to China?

Goldman Sachs has set out an interesting league table showing just how exposed European stock markets are to China, following Monday’s stock market meltdown

In a note sent to clients on Tuesday reassuring investors we’re not about to tip into a global recession, Goldman sets out the below chart showing that Germany’s DAX has the biggest exposure to China.

Goldman Sachs

Germany is known as a strong exporter and, like the Australian economy, has enjoyed strong business with China during its economic boom over the last 10 years.

The chart also shows the impact of “Black Monday” on stock markets across Europe, comparing their year to date gains prior to China’s currency devaluation and performance since.

Weirdly, exposure doesn’t match up with performance — Norway’s OBX, the least exposed, has suffered the most since the devaluation. All its year to date gains have been wiped out and it is now down 1% on the year.

Of course, this is a crude measure and there are doubtless plenty of other factors at play in the performance of each market.

This article is published in collaboration with Business Insider. Publication does not imply endorsement of views by the World Economic Forum.

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Author: Oscar Williams-Grut is a reporter on the markets desk in London.

Image: A bull and a bear styrofoam figurine are seen in front of the DAX board after the end of the last trading day at the Frankfurt stock exchange. REUTERS/Alex Grimm