According to BlockBeats, on August 5, despite recent turbulence in financial markets, analysts at Fitch's research arm BMI believe it is premature to assert that macroeconomic or market conditions have significantly deteriorated.

BMI stated, 'The surge in financial market volatility is the result of a perfect storm of macro and market shocks occurring when risk assets were already overbought and overstretched.' They noted that the stock market had previously experienced a significant rebound, making it susceptible to sell-offs when adjustments began.

BMI highlighted that a 5%-10% adjustment is quite common in a bull market, with volatility often intensifying between July and October. Factors that could signal a shift from a stock market correction to a bear market, potentially dragging down the global economy, include the stock market breaking key support levels, geopolitical tensions driving up oil prices, and persistently weak U.S. data exacerbating concerns that the Federal Reserve's policy response is too delayed.