China Stock Market Chaos Revealed: Inefficiency Impact on Investors' Returns.
The China stock market shows signs of a predictable chaotic pattern, indicating it is not fully efficient yet. By analyzing the correlation dimension, researchers found a low-dimensional chaotic process in the Shanghai stock exchange, with a correlation dimension of 3.681. This suggests that the daily yield rate in the Shanghai stock market is less random compared to more established markets. This indicates that the China stock market is still in the process of becoming more efficient.