by Marie Kauna – EMTV Online, Port Moresby
World stock markets have reccently fluctuated as a result of slowing economic growth being experienced by countries like Japan and China, with this downturn now a potential global market threat to many other economies.
Recent reports have stated that Japan is facing serious economic growth problems, with China now following suit.
In a report last Friday, US share prices plunged more than 3 per cent, while London’s FTSE sank by 2.83 per cent.
These heavy losses and changes on the scale predict that Australia’s share market could drop more than 2 per cent itself. According to Craig James, Chief Economist for CommSec “the future market is pointing to a fall of around 110 points, or 2.2 per cent.”
James further added that “Australia’s economy is in a better shape than many global markets to weather this storm”.
Global markets are now being threatened by what is identified to be factors that contribute to fuelling global economic fears. These include Chinese economy; US rate rise, fall in emerging markets and fluctuating oil prices.
