What was the 2015–2016 event known for a rapid collapse in China’s mainland stock markets?

The Chinese stock-market crash was the 2015–2016 event in which China’s mainland stock markets rapidly collapsed after a speculative surge.

The Shanghai Composite had more than doubled from June 2014 to June 2015, helped by rising retail participation, margin financing, and expectations of continued economic growth. The index then fell sharply from its June 12, 2015 peak, despite extensive intervention by Chinese authorities.

Measures included trading restrictions, suspension of initial public offerings, support for share purchases, and investigations of short selling. A second major wave of selling occurred in early 2016, when newly introduced circuit breakers were triggered and then abandoned after worsening market anxiety.

The episode did not equal the 1997 Asian financial crisis in geographic scope, although it influenced global sentiment. It also differed from the 2021–2023 property-related stress associated with Evergrande. The 2015 crash centered on equities, leverage, investor behavior, and policy responses.