U.S. stocks crashed more than 2% for the second straight session as the Dow Jones Industrial Average fell more than 500 points to enter into correction territory, amid weak Chinese manufacturing data and cascading crude oil prices.
The downturn has exacerbated fears of a global economic slowdown, as markets ranging from the U.K. to China also entered correction after declining by more than 10% this week from recent highs.
Stocks around the world have suffered a massive sell-off since Wednesday afternoon when the Federal Open Market Committee rattled markets with the release of relatively dovish minutes from its July meeting, which provided indications that persisting weakness in the economy could prompt it to delay an interest rate hike beyond September.
Then, on Friday, U.S. crude futures dipped below $40 a barrel for the first time since 2009, while the Flash China Caixin PMI fell to a six and a half year low, illustrating the continual deceleration in growth throughout the world’s second-largest economy.
“Read the Full Article at www.moneycontrol.com >>>>”