Tuesday, 5 January 2016

Wall Street reels under China shock

The Dow Jones industrial average was set for its worst start to a year since 1932 as stock markets tanked after weak Chinese economic data reignited fears of a global slowdown.

Surveys showed factory activity in the world’s second-largest economy shrank sharply in December, sparking a 7% slide in Chinese shares that triggered a trading halt.

Adding to investors’ worries, China’s central bank fixed the yuan at a 4½-year low, further weakening it against the dollar.

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