A global stock sell off has entered a second day following concerns about a possible crackdown on share dealing and imposition of a new capital gains tax by the Chinese government.
The wobble has been felt all around the world and some analysts are predicting that it could lead to a major price correction on UK, Asian and European indexes.
Almost 12 months ago, the UK’s FTSE 100 lost more than 9% as concerns about high oil prices and political global instability combined to impact on world markets. Some are saying the Chinese wobble may see an even greater drop.
The impact of the speculation highlights just how far the Chinese economy has grown in recent years and also the increased significance and influence it enjoys on the global stage.
The next few days will make interesting and nervous viewing for those who keep a close eye on the world’s stock markets.