The Shanghai Composite Index will end the year at 3,075, according to the median forecast in a Bloomberg poll of 10 strategists and fund managers. That implies a 13% drop over the 12-month period, the steepest in five years, and a gain of 2.9% from Wednesday’s close. Fading prospects for monetary easing, a slowing economy and the risk of higher US borrowing costs spurring yuan weakness were among factors weighing on the nation’s shares, the survey showed. Turnover on the world’s second-largest stock market has collapsed to a two-year low as China’s army of investors, unnerved by 2015’s plunge in equity values, charged into other assets. After a frenzied bet on commodities futures soured, they have changed to property, causing home prices to jump dramatically.
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