Market turbulence raises fresh worries over global economy

A roller-coaster ride on global markets, which saw some bourses record their largest one-week losses since 2008 as they took fright at a Chinese sell-off, have raised fresh worries over the strength of the global economy. And while analysts said fears of a repeat of the financial crises of 1997 or 2008 were largely unfounded -- mainly because of reforms undertaken since -- they warned that continued turbulence emerging from China would take a toll on global economic growth, especially in emerging economies. An 8.5 percent plunge on Shanghai's benchmark index on Monday triggered sharp declines across the main US and European exchanges, with drops that wiped out any profits earned this year. The carnage was even worse in emerging economies, and while non-China stock markets recovered somewhat on Tuesday, comparisons have nevertheless been made to the 1997 financial crisis, which left East and Southeast Asian economies in tatters and some seeking bailouts from the International Monetary Fund.