Last week was a global disaster for stock market. As you might have seen in the news broadcast, it was totally red for worldwide stock markets. Not only Wallstreet, European and Asian indexes also plunged deeply until the final day of transaction last weekend. Only gloom and fear (and maybe some tantrum and mutter) occupied the trade floor.
Nobody can assure when the trend will turn around to the positive track and stock markets make their comeback. Although the stocks have showed the rebound today, I’ll stay skeptical and be very prudent to say it’s the end of the negative slope.
One thing for sure, continuous stock decline brings harm to the industries. It’s easily explainable that falling stock price is associated with less bright future of a company and it makes sense that investors are unlikely to invest the capital in a business that gives nothing in return. However, the fallacy of a single company in many cases will only bring impact to a smaller scale. When the decline is massive and global, the issue will be shifted to the impact to national economy and when it involves the big-giant nations, turbulence in their economies will also affect world’s future economy prospect. It’s pretty understandable to see how this issue has forced global leaders to march up and set up the paces, reinforce together and discuss viable solution to this crisis. Continue reading
