For the past 8-10 trading sessions, equity markets across the globe have become very weak and volatile due to problems faced by U.S.economy. Baring chinese stocks, all other markets have displayed hightened volatility with some markets correcting upto 10-12% in a single week. This is causing tremendous nervousness in investors mind, with traders being thrashed at every point in the trade. This i believe, will bring some bottom fishing as investors will try and figure out whether equity valuations are reasonable enough for a buy, indeed they have become quite attractive after such sharp and quick selloff. This phenomenon is not new to equity markets as they have time and time again faced such nervousness and volatility, time has come for markets to stabalise. Yen carry has gathered momentum after prolonged U.S. dollar weakness and this too is causing volatility in the financial markets. U.S. fed comments about economic revival package has not caused U.S. markets to recover the lost ground as they are more worried about long term solution to on-going fiscal mess in the U.S. economy. As i repeatedly say, year 2008 will be very challenging year for equity players across the globe.