U.S. markets were relatively quiet last week with the Dow Jones Industrial Average dropping 0.4% to 17,946.68, the S&P 500 also slipping 0.4% to 2101.49 and the NASDAQ Composite shedding 0.7% to 5080.51.
The real action was in China, where the Shanghai Composite Index collapsed by 7.4% on Friday and neared a 20% drop which would constitute bear market territory. Chinese stocks saw their biggest two-week plunge since December 1996.
While the market Shanghai market is still up an extraordinary 70% since last November, China's central bank ran to the rescue Saturday morning by cutting its benchmark lending rate to a record low and lowering reserve requirements for some lenders.
Farmers may have to return to their fields if Chinese authorities aren't able to stop the obviously insane stock market bubble from bursting.