Emerging markets like Brazil (BOVESPA Index), India (BSE SENSEX), and China (Shanghai Composite) have had a particularly difficult time.
So are these slowdown fears for real? Over the next few posts I will analyze the impacts of a global slowdown in the backdrop of a highly leveraged and interconnected global economy.
To begin with here are some charts -
Shipping rates have had a volatile 2008. In the first half of 2008 a weakening USD coupled with high oil prices pushed commodities and shipping rates to new highs.
Is Chinese demand finally slowing? Or is this just a blip on the charts due to the 2008 Olympics?
2008 has been a terrible year for equities.
Fears of a US led global slowdown and a risk averse investing environment have resulted in large outflows from emerging market equities.
2008 so far----