Stocks have hit new highs but seem to be stalling. One analyst predicts that stocks will go up a bit more and then correct down at least 30%. Why? It all hinges on China. China has been one of the only countries with significant growth over the last few years. China has been the main driver of the so called recovery. Well, there are signs that things are slowing in China. There may even be a recession on the horizon. If that happens there is nothing left to drive growth and the whole global economy will experience a recession. That is the last thing we need at this point. We need healthy growth or we will fall further into the morass we are in. Hold on to your seats folks, things are going to get rather bumpy if China's economy is indeed slowing.
What do you think?