homevideos Newsmarket NewsCoronavirus impact: Surprised that markets didn't fall earlier, says Port Shelter Investment Management
Coronavirus impact: Surprised that markets didn't fall earlier, says Port Shelter Investment Management
The global markets are in a tizzy as coronavirus fears have wiped out more than $3 trillion in value this week alone. For the first time since the outbreak erupted, the number of new coronavirus infections outside China exceeded new Chinese cases. Richard Harris, chief executive of Port Shelter Investment Management shared his views and outlook regarding the pandemic fear.
The global markets are in a tizzy as coronavirus fears have wiped out more than $3 trillion in value this week alone. For the first time since the outbreak erupted, the number of new coronavirus infections outside China exceeded new Chinese cases.
Richard Harris, chief executive of Port Shelter Investment Management shared his views and outlook regarding the pandemic fear.
“We have the virus issue around now for six-seven weeks. China produces a lot of individual components for factories overseas, those factories are running short of parts, China is not producing, it is very unproductive at the moment and it is hardly surprising that the markets have fallen. It surprises me that they haven’t fallen earlier,” he said.
“What we are seeing is something a little bit different. We are seeing all the assets move the way that you would expect for – if not a recession then certainly a sharp slowdown. We have got gold up, we have got equities down, we have got oil down, we have got bonds up. I think markets are concerned about recession,” he added.
When asked how he saw the markets reacting to the situation at hand and when a recovery could be expected, Harris said, "This is not going to be a V-shaped recovery. This epidemic is not something that will recover tomorrow. It will take quite a long time for productivity to come back into the line. My feeling is we are looking through to the first half of the year now.”
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
Over 50 onion farmers detained in Nashik ahead of PM Modi's visit
May 16, 2024 11:14 AM
Why Google CEO is cautiously optimistic about the election year
May 16, 2024 9:51 AM
Mark Mobius reveals how markets will react if NDA wins 400+ Lok Sabha seats
May 15, 2024 8:09 PM