An unanticipated slowing of China’s economy resulted in one of the worst weeks for U.S. stocks this year. The top indexes all recorded losses, and Jim Sloan of Jim Sloan & Associates mentioned the link between the market and China’s news.
Alan Skrainka of Cornerstone Wealth Management agreed, stating: “Everybody’s worried, and everybody’s unsure if the global economy can stand on its own, and China is a big part of global growth. If it slows too rapidly, that would create a lot of pain. I don’t think it will, but there’s uncertainty.”
The market saw a dramatic increase since October, however, and many, including Skrainka, believe some sort of setback was due.
Indexes have named this as their worst week of the year, with the S&P 500 falling 17.31 points, the Dow Jones industrials by 136.99 points, and JPMorgan Chase 3.6. Google, the Nasdaq composite and several others have also recorded losses.
Jim Sloan expressed the worries of the masses when he said: “The world economy is being held together with baling wire and chewing gum.”