$3.17 TRILLION wiped off global stocks so far this year
Almost $3.2 trillion has been wiped off the value of stocks around the world since the start of 2016, according to calculations by a top market analyst.
It has also been the worst-ever start to a year for U.S. equities, said Howard Silverblatt, senior index analyst at S&P Dow Jones indices, as both the S&P 500 and the blue-chip Dow Jones industrial average have posted their steepest losses for the first eight days trading of a year.
The sell-off this year, driven by renewed jitters over China’s economy and a slump in energy prices, has pushed the S&P 500 index in correction territory, with the benchmark now down 11.29 percent from its May 21 closing high.
According to the veteran market commentator, U.S. stocks are now off $1.77 trillion,while overseas stocks are down $1.4 trillion.
Other analysts warned that the sogginess in stock markets may persist. In a research note on Wednesday, Albert Edwards, global macro strategist at Societe Generale, said the S&P 500 index was susceptible to a 75 percent plunge from current levels.