There is another alleged Chinese fraud in the news today. The company had a greater than $4 billion market cap at the beginning of the day. The symbol is TRE.TO and it trades in Toronto.
John Paulson holds a $650 million position in the name which accounts for nearly 2% of his funds under management. If the company turns out to be a fraud that would be a serious hit.
There were other large hedge funds that were caught in Chinese frauds as well. These types of events lower risk appetites. I know I am more cautious after a loss.