facebookDo you think coronavirus/wuhan virus will have same impact as SARS on stock markets? - Seedly

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Gabriel Tham

Gabriel Tham

Level 14ยทTag Team Member at Kenichi Tag Team

10 Feb 2020

โˆ™

Stocks

Do you think coronavirus/wuhan virus will have same impact as SARS on stock markets?

What do you foresee happening to the market as a result of the Wuhan Virus? Are you ready to buy on dips?

Discussion (7)

What are your thoughts?

Hi Gabriel!

Taking a leaf from the history books, broader markets like the S&P 500 and the STI will experience a dip of a couple percentage points for the next few months - at least this was the case for SARS.

Zooming in to specific sectors, travel-related business (say airlines & hospitality) will obviously decline more than the broader markets. Conversely, medical-related industries (like pharmaceutical and hospitals) will increase in value.

I created a video to help us understand the effects of a virus outbreaks on the financial markets - Watch it here !

More importantly, it far more crucial to stay invested and not to "panic sell". Stay safe and healthly everyone :)

View 2 replies

Elijah Lee

Elijah Lee

28 Jan 2020

Level 18ยทIndependent Financial Advisor at Phillip Securities (Jurong East)

Unless it becomes a global pandemic that wipes out the population like the Spanish Flu, I doubt the Wuhan Virus will have more than a short term impact on the markets.

Definitely ready to buy on the dip. A number of SG shares fell to a low today, led by companies such as SATS which might face a challenge if air travel is clamped down across the region for the next few months.

Although we're not in a full blown crisis yet, so I'd caution against going all in.

The consequences will only be short term.

quarantaine was criticized, but maybe a good measure.

to...

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