2007-02-27 10:03:06 · 9 answers · asked by Johneedstwonose 2 in Business & Finance ➔ Other - Business & Finance
The Chinese Government were quoted in the press as saying that they may restrict the amount of investment that is allowed in its stock markets as well as tighten regulations. They want to do this to slow down the rapid growth that has been occurring in the chinese markets as they fear that the economy is over heating - i.e. can't support the growth.
Since the Chinese market is a huge market with many international institutional investors, any movements in the chinese market will impact all major countries.
Investors started to sell stocks in the chinese market on hearing this use.
Another factor for the fall in markets was reports coming from Africa about oil and mining.
2007-02-27 10:16:06 · answer #1 · answered by Anonymous · 1⤊ 0⤋
The falling Chinese market. So many US firms do business over there, their market now has an effect on ours. Also Alan Greenspan's commets about he is expecting a recession, plus Jan. durable goods orders fell quite a bit, new housing starts are still down, many "talking heads" saying breathing space is needed, and with the blackberries, ipods or whatever the "younger crowd" (I'm an old folgy) uses for almost instant communication, the lemming effect kicks in much quicker nowadays.
2007-02-27 18:08:06 · answer #2 · answered by gosh137 6 · 2⤊ 0⤋
the market is just correcting itself.Many used the fact that China don't do capitolism well as an excuse to sell and take a little profit. It is a great opportunity to buy stocks right now ,in six months you will be rolling in the dough.
2007-02-27 18:12:36 · answer #3 · answered by TD1HOGY2K 1 · 0⤊ 0⤋
The Chinese market fell 9% and that effected markets worldwide.
2007-02-27 18:08:47 · answer #4 · answered by zander1331 3 · 2⤊ 0⤋
Bad business by bad leadership.
2007-02-27 18:07:42 · answer #5 · answered by Anonymous · 1⤊ 1⤋
Corporate greed.
2007-02-27 18:15:09 · answer #6 · answered by catrionn 6 · 0⤊ 3⤋
The bastard livin' in the White House .
2007-02-27 18:12:35 · answer #7 · answered by shitstainz 6 · 1⤊ 3⤋
the same thing that makes it go up - speculation
2007-02-27 18:11:29 · answer #8 · answered by DixieNormus 4 · 1⤊ 2⤋
shoddy workmanship
2007-02-27 18:10:53 · answer #9 · answered by Damio 2 · 0⤊ 3⤋