WALL STREET – August 24, 2015 (Gephardt Daily) – It was a wild ride on Wall Street today as U.S. stocks lost 588.47 points or about 3.6 percent of their value at the closing bell.
The Dow Jones industrial average has fallen off by more than 9 percent over the past week and lost almost 12 percent since its record high in May of 18,312.39. Analysts say the market is in what is often called correction territory involving a decline of 10 percent or more.
Michael Kanigher, a private wealth adviser, told the Los Angeles Times that “We’re in a volatile market, and these pullbacks are going to occur for reasons.” Today’s reason appears to be China and before that Greece. However, Kanigher is not worried and believes that,” Right now, the market seems to be doing well, and definitely not on a path to a recession.”
The Chinese government has had a heavy-handed response to turmoil in its stock markets and that’s shaken investors’ confidence in the country’s ability to deal with further downturns in the economy.
There was volatility and major losses in markets worldwide as countries around the globe responded to big sell-offs in China.
(DEVELOPING)
