Chnese stocks steady but still at risk

After plunging on Monday, China's stock market steadied somewhat on Tuesday, the CSI 300 closing 0.3 percent higher.

However, Bank of America Merrill Lynch's head of China equity strategy David Cui thinks that the Shanghai Composite Index will end the year down roughly 27 percent.

"Historically, any country that grew debt this fast inevitably ran into financial-system problems, including currency devaluation, banking recap, and high inflation, and we do not expect China to be an exception," asserted Cui.