The Deeper Causes of the Global Stocks Rout

To shed light on one of the worst starts to a new year for global stock markets, some analysts are turning to macroeconomic explanations, such as China's economic slowdown and its uncharacteristic policy slips. Others prefer to focus on the cascading influence of unhinged markets, such as oil. Yet neither explanation is sufficiently comprehensive; and each fails to account for major changes in liquidity and volatility.