We (GS) see a number of reasons for some near-term caution:

(i) the high degree of uncertainty about the size of duration of the corona disruptions and their implications for incoming data

(ii) limited expected policy support by major central banks

(iii) high absolute valuations for domestic stocks (as of yesterday’s close, the S&P 500 was just…[Read more]

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JPM: We had thought a deceleration in viral case growth rate could help calm investor anxiety, but we are surprised to see markets rebound so quickly
Over the past week, the growth rate fell from a 50% day-over-day 5-day average to near 20%. While that represents a meaningful decline, it does not yet confirm the success of the policies implemented…[Read more]

Wuhan a major manufacturing hub in Central China’s Hubei Province
for semiconductor, panel and auto sectors
In the short term, a delay in product delivery, coupled with logistics issues brought about by the lockdown of Wuhan, could cut supplies for smartphone and computer makers in urgent need of chips and displays to assemble electronic…[Read more]