A man walks past an electric quotation board flashing the Nikkei key index of the Tokyo Stock Exchange (TSE) in front of a securities company in Tokyo on January 8, 2016. Tokyo's benchmark stock index started 2016 with a record New Year losing streak, as growing concerns about China's economy and geopolitical tensions battered investor spirits. AFP PHOTO/Toru YAMANAKA / AFP / TORU YAMANAKA (Photo credit should read TORU YAMANAKA/AFP/Getty Images)
Economist Chris Butler, while pointing out China’s importance in the global economy, dismissed claims that this week’s market struggles can be blame solely on declining Chinese stocks.
He told Chris Stigall that there are many other factors that need to be taken into account when assessing the entire nation’s economy.
“To blame all of what’s happened in our market over the last four days on China is a little naive. You have to remember, during all of that, oil was dropping like a sack of hammers and I think that also, for whatever reason, is causing fear in US markets as well. I’m not thinking that if China gets fixed our market suddenly starts making new highs.”