China's economy just came in with a weak seven handle on growth, but even those who believe the headline number know that stocks' path in the future there is lower.
Money managers are having the toughest time in trying to solve for all of today's volatile variables (currencies, commodities and rates).
History tells us to buy the equities of the easing country. So, U.S. investors are worried that in this zero-sum game of trading that they will see the selling of U.S. equities to make room for more European market exposure. This might be why the risk-on trade in U.S. stocks this year seems disingenuous since utilities have outperformed.