Panic is in the air. For weeks there was calm, markets have been moving upwards without a hitch and shrugged the coronavirus off with breaking little sweat, but then there is this sudden panic now. The world is watching with concern, and it is unsettling on a human level as well as from the perspective of how markets respond.
Pandemics versus market performance | Covid-19 Special Focus
Memories of SARS (Severe Acute Respiratory Syndrome), Avian Flu and the Ebola outbreaks are being rekindled with the spread of coronavirus and global stock markets are reacting. Let us see how two global equity markets; the S&P 500 and the UK equity market performed around these three significant outbreaks.
Optimism is the only realism
There’s a lot of fear about what happens next in financial markets and across the world economy. What should you do in response? Firstly, as always, our advice is to do nothing. We know you’ve heard us say this before, but in this instance, it’s even more important you don’t panic and don’t react.
