Fears that China is heading for an economic recession have been overstated. After last week's global market mayhem, concerns from Western analysts and economists surfaced again.

Talk was rife that the broader Chinese economy was in trouble after the Shanghai Composite Index suffered its steepest five-day fall since 1996 before bouncing back. But those remarks had a hollow, sounding ring when looking at the bigger picture.

When it comes to the overall economy, the stock markets in China play a minor role. In the United States and Europe, institutional investors are the major players in New York, London, Frankfurt and Paris.