China Data Spook Asia Markets

So, admittedly, I was about to post about China's trade deficit, but noticed that Chet handily covered that one.  Well done, Chet!  So this article is related.  It is a typical "here's what happened in the stock market and here's why" sort of article.  Nothing mind-blowing here.  


However, the reason I included it was to point out the strong international interplay between Asia, Europe and the U.S.  (I suppose you could really lump every country in the world into those who are connected...).  The point is that the jobs data from the U.S. last week had impact upon the markets in China on Monday (China's Monday).  And I guess things are as uncertain over there as they are over here exemplified by the following quote:  "The picture of the global economy's health is as hazy as a Beijing skyline."

The takeaway: even though the U.S. job's data was strong, the negative news in regards to China's trade deficit will likely offset it on a global scale since both countries are dominant forces in the world.  Therefore, what?  Small world.  We are all connected.  What happens over here matters over there and what happens over there matters over here.  In today's global economy there are very few, if any, true 'islands.'

Jeff Carroll

http://online.wsj.com/article/SB10001424052702304450004577276190760811060.html