Dr Doom criticises 'unreasonable and irrational' response to China crash

Economist dismisses fears of hard landing

Perma-bear Nouriel Roubini has dismissed the market's reaction to the falls in the Chinese stock market as an overreaction.

Speaking at a world economics summit in Lake Como, the professor and global economist said the market quickly moved to extreme pessimism when in reality little had changed, the Telegraph reports.  On 'Black Monday', the Shanghai Composite index lost 8.7% in one day at the end of August, prompting panic-selling across the globe as investors feared China's growth slowdown could be worse than expected. However, Roubini dismissed the market's response as "excessive, unreasonable and irrational". Why China's plan to internationalise renminbi could spook markets further He said: "The ...