Covid-19 vs stock market battle
On Wednesday, the 24th of June 2020, the stock market saw one of its biggest sell-offs since June 11. The Dow dropped by 2.71%, the S&P 500 ended the session on -2.58%, while the Nasdaq snapped its 8-day win streak, dropping by 2.19%.
These whopping drop comes as a result of the rising coronavirus cases in the US, which are reported to be out of control, especially in States where the lockdown measures were slightly lifted.
In 33 states in particular, the new cases were higher than average during the past two weeks, according to the Wall Street Journal's analysis. Even outside the US, Australia posted on Wednesday its biggest rise in new cases compared to the past two months.
Additionally, Disney publicly announced that it will delay its re-opening in California and the Australian airline, Qantas, said that they don't expect decent international operations until at least July 2021. Top top things off, the IMF announced that it expects a must deeper recession, with a 4.9% shrink for this year, compared to a projected 3%.
It remains to be seen how this week will close - will the markets bounce back up or is the decline going to persist?
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