Global shares fall on China bank fears

In summary, this article is saying that global shares are falling because China plans to reduce lending from its banks. Chinese authorities have ordered China's commercial banks to stop lending for the rest of January, due to Chinese fears of their economy increasing in inflation and overheating. According to this article if China stops lending money, it will have an negative effect on global trade. The U.S. Dow jones lost 1.1%, the UK's FTSE dropped 1.7%, Germany Dax, and France's Cac lost 2%; due to China not lending to other countries. The Chinese economy has significantly grown, while other major economies are going through a recession.

This article illustrates how well the chinese economy is growing and doing. This article also shows how dependable other economies are on Chinese banks and its economy. This article can play into the fears of people, saying that"China is taking over the world" (over exaggeration). China has become the world's biggest exporter surpassing Germany, and many analyst believe that China has the second biggest economy in the world. This article just proves how the Chinese economy keeps growing and will continue to do well, however this article only takes into account GDP, but not GNP. Therefore, it is hard to indulge into my over exaggerating "fears" if other countries are investing or have companies in China because labor is cheaper.