Virus Concerns Shake Global Markets02/26/2020

Share:

Latest - Insights Latest - Insights Latest - Insights Latest - Insights Latest - Insights

Equity markets around the world continue to weaken on concerns around its potential impact to the global economy. The S&P 500 has fallen for four-straight trading sessions and is now down more than 3% this year and more than 7% from its February 19 all-time high. Moreover, stocks fell by more than 3% in back-to-back sessions for the first time since August 2015. While we could not have predicted such an event, we have been cautious towards equities given their lofty valuations coming into 2020. With so many uncertainties surrounding the spread of this virus, we believe more equity market weakness is possible. However, this downside could be limited as global central banks are able to extend their ultra-easy monetary policies and the U.S. economy and consumer remain in good shape. We don’t recommend betting on one single outcome and warn about being too optimistic or too pessimistic. Regardless of investor reaction, we continue to expect market volatility to remain elevated.

For more insights, download our full commentary.

Latest - InsightsCIM Commentary - Coronavirus Update.pdf Latest - Insights

Commentaries are published by Cetera Investment Management LLC, an SEC registered adviser owned by Cetera Financial Group. Cetera Investment Management provides market perspectives, portfolio guidance, model management, and other investment advice to its affiliated broker-dealers, dually registered broker-dealers and registered investment advisers.

Latest News - Latest Insight Detail - Subscription

Want more insights like this, sent straight to your inbox?

Subscribe to email updates from Cetera and be well informed about what’s happening within the market and the financial services industry overall.

Drop Us a Line

Looking to be part of something more? Get in touch to learn about the benefits of affiliating with Cetera and start taking the next steps to a stronger future.