The U.S.A. stock markets fell significantly as the Covid-19 cases were reputedly spreading worldwide. Stocks are approaching for their worst week since the financial crisis in year 2008. The S&P 500 plunged 12% and the Dow Jones dropped nearly 1,200 points in the worst 1 day drop for the stock market since 2011.
“Corona virus (Covid-19) is a virus affecting the respiratory organs and is quite similar to SARs (Severe Acute Respiratory Syndrome) a virus that spread last 2002 which killed more or less 800 people and triggered economic crash on that same year.”
After the Covid-19 outbreak almost all of the Chinese Nationals and foreigners across the region of Wuhan have evacuated and flights in and out China have been canceled. Accordingly, around 170 people have already died and thousand are yet to be treated. What made it more alarming is, the virus has been spreading worldwide.
And because of the outbreak, many investors are panicking and lots are selling their investment. Though it can be a serious matter, for me it’s a bit to much. But since most investors are panicking, it can be an opportunity to some.
Confidently speaking, Covid-19 will be contained any time soon, as government from different countries has already started precautionary measures to stop the spreading and treat those who are infected. And as the virus goes down, market will again fly up and those who patiently hold their shares firmly will persevere.
Let Reliance Trading Co Limited help you start your investing journey, contact us and meet our professionally trained fund managers.