China's Economy Is Not Really The Problem For U.S. Markets

Once again, disappointing economic news out of China has set investors’ nerves on edge. Although the actual decline of China’s Purchasing Manager Index was not all that large, a significant improvement had been expected. Thus, hopes for a turn in that economy were dashed. Realistically, however, China is not the problem. The real worry is that global slowing—and specifically the decline of industrial production in the United States—will drag us into recession. Broad leading indicators fo...