Markets like this are dangerous territory. The movement is good for traders who make commission on trades or for traders who can easily slip in and out. For normal investors, cash is king. Nouriel Roubini is warning of the potential for a 20% decline.
As the market slides into correction territory, Roubini said weakness in euro zone countries and a slowdown in the US and other developed countries will make things even more difficult for investors in the months ahead.
“There are some parts of the global economy that are now at the risk of a double-dip recession,” said Roubini, head of Roubini Global Economics. “From here on I see things getting worse.”
