September, 2012 (Chinavestor) The Dow Jones Industrial Average (INDEXDJX:.DJI) has outperformed major Chinese indexes for 2012 so far. The U.S. benchmark is up 5.6% year-to-date after a 0.6% advance in August. In contrast, all three Chinese indexes we track fell for the month of August and the Shanghai Composite Index (SHA:000001) is back at multiple year lows as a result. Investors in China turned bearish not so much as a result of disappointing earnings but rather due to signs of an economic downturn hit home. Mainland investors continue to regard the central government as key in determining what course the Chinese economy is going to take. But lack of action from Beijing gives investors no reason to buy. Chinese shares fared a lot better in Hong Kong whose economy is a lot more open to the western world. The Hang Seng index (INDEXHANGSENG:.HSI) continues to trail U.S. indices but is up YTD. The China ADR Index, designed to track the performance of Chinese companies listed in the U.S., fell for the month of August but is up YTD.