The collapse of global stock markets has attracted widespread attention, especially whether A-shares will also be affected. Let's take a look at a few key points from this plunge.
Why did Japan's stock market crash first?
The trigger for this stock market crash came from Japan. Last week, the Bank of Japan unexpectedly raised interest rates by 15 basis points, sending the Nikkei index tumbling 12%, its worst one-day drop since Black Friday in 1987.
United States economic data is poor
United States jobs data underperformed, adding to market panic. The July employment data came in well below expectations, with non-farm payrolls falling significantly. This has further escalated market fears that the United States economy is about to fall into recession.
Global markets followed suit
The double whammy of Japan and United States has sent global markets into a panic. European equities also followed Asian equities in the decline. U.S. stocks were hit hard, with the Nasdaq down nearly 6%, the Dow Jones Industrial Average down more than 1,000 points, and the S&P 500 down 3%.
Will A-shares passively fall?
Against the backdrop of a bleak global stock market, the performance of A-shares has naturally attracted widespread attention. Some believe that the global stock market plunge provides a "justifiable" excuse for A-shares to fall. However, the trend of A-shares does not only depend on external market fluctuations, but also domestic economic fundamentals and policy support.
What does the future hold?
While the market is panicking, some experts believe that the market may be overreacting. August is usually a volatile month for the market, and although the decline is large, it may not be sustainable. There is still uncertainty about the future.
What I want to say
The collapse of the global stock market has a certain impact on A-shares, but the future trend of A-shares needs to be comprehensively considered by many factors. Staying calm and rational analysis is an important investment strategy in the current market environment. We look forward to an early return to market stability.