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Why COVID 19 is making markets to crash.

Question by Sydney Mulunda On 25 March 2020, 22:56:11


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Answer by Sydney Mulunda On 25 March 2020, 23:06:30

COVID-19 is by far one of the worst pandemics to have hit the earth, and the effects of the virus are being felt all over the world. A lot of economies all over the world are hurting because of the pandemic. Most of the countries have instituted lock downs in a bid to prevent further spread of the virus in different parts of the world. This has meant that workers have gone home, companies and industries have shut down and the local markets have been closed. The effects of the virus have also been felt in the stock markets. Many of the stocks have been on a downward trend as a result of fear stricken investors who have resorted to selling their shares in a bid to salvage their investments from being wiped of. The high level of uncertainity as a result of the pandemic is what has fueled alot of the investors to sell their shares in a bid to secure their investments. However, once the situation has been contained, the markets shall correct themselves, as they have always done. 





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