With stocks plunging in Aug & Sept, we think there is a bearish trend for our global market. The financial problems in Europe will harm the global economy, as it is major importer of goods from US and China. So, what is happening in Europe is not single event. But, it’s a contagion to the global economy.
Another negative impact caused by the S&P unprecedented downgrading of the US Treasury debt to AA+ which added to the pessimistic outlook. The US job market seen another downturn with unemployment rate hovering at 9.1%.