COVID-19 and the Markets
We want to take a moment to address the extreme selling that has transpired in the markets throughout the last few days and weeks. It’s too early to say if yesterday’s capitulation-style selling signaled a market bottom, and it is too early to predict what the resulting short-term and long-term damage to the domestic and global economies will be. Our view is that most industries and sectors will recover from the coronavirus sell-off, while the industries that have been most directly impacted by the virus – hospitality, transportation, and tourism – will face a prolonged recovery. The timing and degree of recovery is first and foremost dependent on the spread and subsequent containment of the virus.