Switzer on Saturday

Ignoring COVID-19 might be bad for our portfolios

Founder and Publisher of the Switzer Report
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Friday Close
Change
Change %
Week Change %
Dow Jones
29,398.08
-25.23
-0.09%
1.02%
S&P 500
3,380.16
6.22
0.18
1.58%
NASDAQ
9,731.18
19.21
0.20%
2.21%
ASX 200
7,130.20
27.00
0.38%
1.53%
Data for week commencing 10 February 2020

The Yanks continue to keep their cautiously relaxed attitude to the Coronavirus (now tagged as COVID-19 in some quarters, including China). Europe’s stock markets are showing more fear around the virus but Wall Street is more focused on earnings season that continues to impress.

That said, maybe US stock market indices would be higher, if it wasn’t for the impact of the virus on future sales, profits and growth calculations of affected companies and economies. Overnight, the IMF chief, Kristalina Georgieva, says the next two weeks will be critical for getting a handle on how the virus will impact economies. Over that period, Chinese factories will reopen and it has just been made public that Apple will reopen its five stores in Beijing today.