Equities rising on expectations of reopening of economies

14.05.2020

The rebound of the broad equity market to the level it was trading at in mid-2019 is an indication that equity investors expect the current deep decline in economic activity to be highly temporary. But how soon after the reopening will we be seeing renewed outbreaks, and how severe will they be? This is the implicit question investors should ask themselves and be given some kind of answer to. Equity markets in particular are fairly optimistic at present.

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