The first shockwaves of the financial storm to come are striking the world’s markets as the largest one day drop in the Dow Jones history, more than a thousand point free fall near the beginning, hit American retirement accounts hard.
It started in China as that country’s stock market lost more than 10% of it’s value amid concerns over currency devaluation and an economic slowdown that saw foreign investors fleeing from the world’s second largest economy into so-called safe havens in the United States and European Treasury market.
This wave of activity is sweeping the world and not just the stock market, oil fell below $39 a barrel and weaker currencies such as the Russian ruble and Turkey’s lira fell sharply against the dollar and the Euro as investors ran from emerging markets.
These worries are creating a seismic shift in how investors are positioning themselves which may in turn lead to more destabilization of the world’s economy because of the effect on Europe’s already shaky export driven economy and less buying power for China as it’s currency which much of the world now depends on to drive their industries.
The initial shaking we are seeing now is only setting up the board for what is coming. The herd mentality of investors and economists will lead to poor economic choices in the coming weeks.
Understand, that more difficult days lie ahead, but the Lord is Lord even of the hard times. Now is the time to seek Him and repent of our rebellion against Him. The Lord is our only true shelter and hope.