The economies of many countries of the world are in a bad shape, while China, the second-largest economy, is seen in crisis. Once again, Corona has emerged as a big reason for this. According to a media report, China's financial markets are showing signs of a slowdown in the economy. The rising cases of Corona are becoming a crisis for the economy of the country.
At the same time, it is being speculated that if the lockdown is resorted to control the increasing outbreak of corona infection, then it will create trouble for the economy. The Chinese stock market has broken down badly in the last 15 days. China's Hang Seng China Enterprise Index has slipped by about 9 per cent since June 28. In such a situation, there is again a concern in front of investors that if the corona cases increase, then the economic activities will come to a standstill again. The fear of Corona can be gauged from the fact that only one case of infection was reported that a city considered to be the steel hub of China was closed for 3 days.
In the same report, it has been expressed the possibility that if the corona outbreak in China increases, then the lockdown may be announced again. This has led to fears of the stoppage of production in factories. At the same time, it will also have an impact on construction activities. While, china's construction companies, which are reeling under debt, are already facing difficulties. Among these, the Evergrande Group can default on loans, while the prices of Iron ore's shares have reached a 7-month low.