Yes they do even if it isnt obvious. The markets tend to be efficient which means that events are discounted before they happen.
Apparently Greenspan was saying the Chinese mkt is due for a huge sell off. WHy anyone still listens to him is beyond me.
Persian Gulf tensions + Alan G warning on China + 5% yield on 30 year = No Chance for rate reduction from fed- one of the main drivers of this rally leg. + Earnings 90% over (other leg) + Big Durable goods forward looking number tomorrow could be bad since durable goods go into new houses = selloff this afternoon. + high price of gas = little consumer spending. Cascade sell off tomorrow, recovery friday and a very ominous tuesday opening after Shanghai experience's a Memorial Day Massacre.... never dull in the world of stocks!
It's not so much about the Chinese mkt "imploding" it will be more about the inept response of the Chinese authorities... That's where the instability will come from.