Yesterday's stock swings capped three weeks in which the Dow Jones industrial average often moved at triple-digit levels in each trading session. The turmoil reflects uncertainty about financial markets even though the economy itself appears to remain stable, according to economists and traders.
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"The fundamentals, underlying inflation, economic growth rates, US employment growth, are still robust," said Nariman Behravesh, chief economist at Global Insight of Waltham. "The markets are panicking a little, but it's still a financial story. As long as the central banks succeed in calming markets down, I don't see this spreading to the broader economy."