Stocks swing upward on coronavirus stimulus package hopes
Mar 17, 2020
I think right now the market participants only care about coronavirus containment and COVID-19 disease management, and that the reaction to the fed/administration easing credit, providing liquidity, and the stimulus package matters only within that context.
The economic stimuli proposed by the administration is irrelevant unless the virus infection rate and the spread is controlled. We need to put more experts and doctors in front of cameras who can qualify and quantify the extent of the crisis and what is being done to mitigate it (to flatten the curve).
“If news comes out tomorrow that the infection curve is continuing to steepen, then I think today’s news about the stimulus will take a back seat, like other recent attempts to prop up the economy,” said Dejan Ilijevski, president at Sabela Capital Markets.