empty
30.12.2020 03:29 PM
New coronavirus variant: May it destroy the global economy?

This image is no longer relevant

Recently, it became known about a new strain of coronavirus in the UK and Europe, which is more infectious and fast-spreading. Countries are reintroducing strict quarantines and closing recently opened borders. People are revolting against such measures. They are afraid of falling below the poverty line, while entrepreneurs are afraid of going bankrupt.

Economists believe that the collapse of the world economy may occur very soon. If countries continue introducing strict quarantines, the drop in GDP will accelerate to 10%. The repeated quarantine may finally kill the entire small business. The service industry, hotel business, tourism, and restaurant sectors have been hit hard and now, they are trying to stay afloat. The fact is these organizations were banned from working on New Year's holidays. The ECB will again have to allocate billions of euros to support the Europeans.

By the way, the EU has recently agreed on a basic stimulus package of €1.8 trillion. Initially, it was assumed that the money would be used to recover from the first wave of the pandemic. However, it is obvious that this amount will also be used to restrain the economy from a deeper decline during the second wave.

Experts do not exclude that the EU, following the example of the United States, will expand the program of support measures next year. They also noted that the introduction of a new anti-crisis package of measures would depend on the effectiveness of vaccination and the absence or presence of new strains of coronavirus.

BRITAIN ON THE EDGE OF CRISIS

In the UK, it is forbidden to travel to other regions, as the epidemiological situation in the country is extremely difficult.

Experts believe that shutting down a country that has found an unknown type of virus is a good decision. However, on the other hand, the consequences are harmful: rising inflation, weakening of the pound sterling, and closure of some small businesses.

The UK government will have to re-approve a package of assistance to the population and small businesses. The total size may reach 50 billion pounds, the economy can be reduced up to 8-10% of GDP, experts say.

In addition, from January 1, 2021, the UK will leave the EU and will have full political and economic independence. Definitely, this will cause even greater damage to the economy. Many factories in the country focused on free access to EU markets. Now, along with the lockdown, logistics, services, and manufacturing will be paralyzed. Many experts say that Great Britain is entering a crisis. The country's government has already advised supermarkets to stock up on food.

Kate Smirnova,
Analytical expert of InstaTrade
© 2007-2025

Recommended Stories

泰坦之爭:Musk與Trump的對決,投資者計算損失

美國股市指數週四收低,因波動交易和特斯拉股價大幅下跌拖累。特朗普總統與中國領導人習近平的外交開局引發的投資者熱情,被這家電動汽車製造商的急劇下跌所掩蓋。

Thomas Frank 11:45 2025-06-06 UTC+2

市場分歧:美國股市停滯,亞洲加速

道瓊工業指數:-0.22%;標普500指數:持平;納斯達克指數:+0.32%。美國服務業在五月份出現近一年以來的首次萎縮。

12:40 2025-06-05 UTC+2

6月5日美國市場新聞摘要

美國主要股市指數在交易日結束時變動不大:S&P 500微漲0.01%,納斯達克上漲0.32%,而道瓊斯下跌0.22%。市場參與者在等待美國就業數據發佈前保持謹慎態度。

Ekaterina Kiseleva 11:59 2025-06-05 UTC+2

美國指數停滯不前,亞洲加速:全球市場正在發生什麼

週三,美國股市以不明確的方向收盤。廣泛基準的S&P 500指數持平,而以科技股為主的納斯達克微幅上漲。

Thomas Frank 10:19 2025-06-05 UTC+2

比特幣的起伏:是繼續上升趨勢還是進入盤整期?

第一種加密貨幣——比特幣,正面臨著重大壓力,介於先前高峰的回調與新高峰的上漲之間搖擺。然而,這一旗艦資產拒絕屈服,並繼續邁向新的高點。

Larisa Kolesnikova 14:51 2025-06-04 UTC+2

6月4日美國市場新聞摘要

在持續的貿易爭端和不斷加劇的財政憂慮之中,美國投資者繼續遵循「逢低買入」策略。隨著標普500指數再創新高,市場參與者正在評估持續增長的前景。

Ekaterina Kiseleva 12:42 2025-06-04 UTC+2

市場樂觀情緒:Dollar General、Pinterest、Wells Fargo股票上漲提振指數

受NVIDIA等晶片製造商的強勁漲幅推動,美國股市指數週二收盤均上漲。投資者歡迎這波動力,期待著華盛頓關於關稅政策的潛在明確性以及與關鍵全球夥伴展開新一輪貿易對話的前景。

Thomas Frank 10:34 2025-06-04 UTC+2

在擔憂中成長:市場上漲,但製造業和Tesla停滯

儘管特朗普總統發出最新貿易威脅,但美國市場週一收盤上漲,這顯示出投資者對美國及其主要經濟夥伴貿易談判進展的信心不減。 上週五晚上,特朗普宣布計劃將進口鋼鐵和鋁的關稅從25%提高至50%,此變動將於週三生效。

Thomas Frank 11:41 2025-06-03 UTC+2

6月3日美國市場新聞摘要

在前一交易日上漲後,美國股市基準,包括標普500指數和納斯達克,因期貨滑落而受到壓力,這是由於華盛頓與北京之間貿易談判的不確定性所致。 投資者正密切關注唐納德·特朗普與習近平之間可能的會晤,這可能有助於緩解緊張局勢。

Ekaterina Kiseleva 11:27 2025-06-03 UTC+2

特朗普再次震撼華爾街:市場指數瞬間反應

華爾街過山車:五月以強勁反彈結束 在動蕩的一個月中,基準的標普500指數在週五收盤時幾乎與當日開盤位置相同。儘管交易波動不定,五月成為自2023年11月以來,指數取得的最大月度增幅。

12:44 2025-06-02 UTC+2
现在无法通话?
提出您的问题,用 在线帮助.
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaTrade anyway.

We are sorry for any inconvenience caused by this message.