The Standard & Poor’s 500 Index fell to a four-month low amid concern that China’s equities rout will hurt growth in the world’s second-largest economy, and Federal Reserve minutes indicated officials acknowledged the potential risks from overseas crises.

The S&P 500 fell 1.7 percent to 2,046.88 at 4 p.m. in New York, its lowest close since March 11.

Members of the Federal Open Market Committee “mentioned their uncertainty about whether Greece and its official creditors would reach an agreement and about the likely pace of economic growth abroad, particularly China and other emerging market economies,” according minutes of June 16-17 meeting.

Fed officials in June forecast they would raise rates twice this year, while lowering their outlook for subsequent increases. Since then, global markets have been shaken by the rising risk of a Greek exit from the euro and a rout in Chinese stocks.

China’s market plunge has raised concerns about a broader impact on global economic growth. The country has unveiled new market-boosting measures almost every night over the past 10 days as policy makers seek to maintain confidence in the nation’s leadership and prevent a crash from weighing on economic expansion.

President Xi Jinping’s government is ramping up efforts to combat the rout as policy makers seek to maintain confidence in the nation’s leadership and prevent a crash from weighing on the weakest economic expansion since 1990.

Source : Bloomberg