The coronavirus disease 2019 (Covid-19) has started to unravel its consequences for the global economy, or at minimum, for some countries and corporations around the world. As a professional, I would describe the current situation in the financial markets as uncertain, though investors have so far let their positive conviction dominate, particularly in the stock markets.
The sell-off in Chinese stocks around the Chinese New Year has largely recovered again, so currently in the stock markets, the major reactions are limited to single stocks or sectors, like when Apple Inc. last February 18 warned about current supply chain constrains. But other parts of the financial markets have actually moved more, and I expect a general increased risk for the rising nervousness among investors if the Chinese situation doesn’t improve soon.