Americans woke to news on Monday that the ~stock market~ — that enigma that somehow controls their lives but nobody really understands — was tanking. The initial reaction from pundits and market watchers was understandable.

Walt Disney Co.

Now this is all kind of confusing and can be kind of technical, but bear with us here as we attempt to explain business.

Walt Disney Co.

Monday's action is tied to China, the second-largest economy in the world. China's constant growth has fueled higher prices of things like copper and oil, and its export market's size has directly affected the movement of the global economy.

Monday's action is tied to China, the second-largest economy in the world. China's constant growth has fueled higher prices of things like copper and oil, and its export market's size has directly affected the movement of the global economy.

Str / AFP / Getty Images

But China has been experiencing a very rough summer, filled with the government pumping money into the system, devaluing its currency to make Chinese goods more competitive, and generally trying to stave off an economic slowdown.

But China has been experiencing a very rough summer, filled with the government pumping money into the system, devaluing its currency to make Chinese goods more competitive, and generally trying to stave off an economic slowdown.

Mark Schiefelbein / AP

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Varghese World

Monday, 24 August 2015

Here's Why Everyone Is Panicking About The Stock Market Right Now

Americans woke to news on Monday that the ~stock market~ — that enigma that somehow controls their lives but nobody really understands — was tanking. The initial reaction from pundits and market watchers was understandable.

Now this is all kind of confusing and can be kind of technical, but bear with us here as we attempt to explain business.

Monday's action is tied to China, the second-largest economy in the world. China's constant growth has fueled higher prices of things like copper and oil, and its export market's size has directly affected the movement of the global economy.

But China has been experiencing a very rough summer, filled with the government pumping money into the system, devaluing its currency to make Chinese goods more competitive, and generally trying to stave off an economic slowdown.

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