Mohamed El-Erian said Thursday he believes China can engineer a soft landing to its recent stock market woes, but the country’s economic slowdown is raising a multitude of issues.
“China is no longer a locomotive of global growth, and that has implications for companies. It has implications for commodities markets,” Allianz’s chief economic advisor told CNBC’s “Squawk on the Street.”
China’s main stock index, the Shanghai composite, recently plummeted 30 percent after running up more than 150 percent in about a year. In response, the government imposed a series of restrictions to stem the fall, including a ban on new initial public offerings and a measure preventing large stakeholders from selling their shares.