Stocks attempted a comeback from Monday's rout but failed. The Dow Jones Industrial average clawed back more than half of Monday's slide at its high point of the session, but those gains soon evaporated. The Dow ended Tuesday down another 50 points for its fourth losing session in a row.
The global markets are still trying to assess the impact from the possible default of troubled Chinese property developer Evergrande.
Mark Mobius, co-founder of Mobius Capital Partners, told CNBC’s “Closing Bell” that property developers “are going to be in deep trouble,” but banks won’t go down, adding that he doesn’t see “any Lehman-type events taking place." Ed Yardeni of Yardeni Research said that unlike the U.S. government’s handling of Lehman, the Chinese government will intervene and “when they do, stock markets around the world should enjoy relief rallies."
