FXTM information and reviews
FXTM
93%
IronFX information and reviews
IronFX
92%
Libertex information and reviews
Libertex
91%
FXCC information and reviews
FXCC
90%
Markets.com information and reviews
Markets.com
89%
FxPro information and reviews
FxPro
88%

COVID-19's Footprint on the Investment World


7 January 2021

It is no doubt that COVID-19 has shaken the world and rocked the financial sector, but just exactly how has this on-going pandemic made its mark? Continue reading to discover the main areas affected.

The coronavirus has altered almost all areas in either negative or positive ways. From employment, to commodities and stocks the time has certainly been remarkable. As mentioned in other articles, the stock market was soaring while the economy was down. This means there is a sort of disconnect occurring in some areas.

Areas within the financial sector that have been hit more negatively due to the virus are mainly oil & gas, and selective stocks present in the hospitality and tourism world.

Oil & gas plummeted in the height of COVID-19, but you might be asking yourself why? When the world hunkered down and entered the lockdown phase of this tragic time, the demand for this commodity took a nose-dove. Nobody needed oil or gas. Travel was at a stand-still and basic daily communities were simply not happening. With that said, as demand went down supply kept going up, there is a “backstock” of oil as these countries kept producing at their normal rate. In fact, the relation of supply and demand was so off that vessels were used as storage and the price of oil reached a point where it was nearly a zero sum cost because these companies were desperate to move the product.

In addition, the other major impacted area in investments are stocks in the hospitality and tourism industry. That is not to say that other industries are not affected as well, as recent consumer spending reports have shown a dip; the hospitality industry, similar to oil and gas commodities has reached, in some cases, a mandatory freeze. Consumers were forced to cancel bookings and re-think that planned vacation. According to BBC News, the number of global flights from July of 2019 compared to Juy of 2020 have almost been slashed in half.

Coronavirus has not only affected these two vital aspects in the investment world, but has clearly rattled other markets such as employment, pharmaceuticals, consumer spending and confidence, and more. COVID-19 has certainly left a footprint in today’s world. Will it alter markets to an extreme looking forward into the future?

This article was written and submitted by eXcentral. 

Disclaimer: This material is considered a marketing communication and does not contain, and should not be construed as containing investing advice or a recommendation, or an offer of or solicitation for any transactions in financial instruments or a guarantee or a prediction of future performance. Past performance is not a guarantee of or prediction of future performance.

Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76.81% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

#source

Related

Meet the new cent account on FreshForex
Meet the new cent account on FreshForex

We present you a new type of cent account - Pro.Cent. What is its feature and what will happen to the old account? The previously available cent account...

25 Oct 2021

Trade CFDs on 900+ of the Biggest Companies this Earnings Season with HotForex
Trade CFDs on 900+ of the Biggest Companies this Earnings Season with HotForex

Traders with the internationally acclaimed multi-asset broker HotForex can trade CFDs on the stocks of over 900 companies during Earnings Season with tight spreads...

22 Oct 2021

FxPro has added over 2000 new shares on MT5 platforms
FxPro has added over 2000 new shares on MT5 platforms

The global broker FxPro has carried out the largest expansion of its asset line in the company's history! The range of financial instruments on the MetaTrader 5 platform...

22 Oct 2021

Fintech Exinity launches innovative solutions
Fintech Exinity launches innovative solutions

Exinity, the new wealth engine with an ambition to unlock the value of risk-driven trading for ambitious individuals, today launched two new trading and investment solutions...

21 Oct 2021

Trade cryptocurrencies 24/7 at AMarkets
Trade cryptocurrencies 24/7 at AMarkets

Starting October 23, you can trade cryptocurrencies around the clock. Now, the AMarkets crypto trading conditions are in no way inferior to those at popular crypto exchanges...

21 Oct 2021

MetaTader 5: most powerful, popular and convenient platform
MetaTader 5: most powerful, popular and convenient platform

MetaTader 4/5 is one of the most powerful, popular and convenient platforms for trading on the global exchange. They are available in versions for all major operating systems....

20 Oct 2021


Editors' Picks

OctaFX information and reviews
OctaFX
86%
HotForex information and reviews
HotForex
85%
XM information and reviews
XM
80%
FXCM information and reviews
FXCM
79%
AvaTrade information and reviews
AvaTrade
76%
LegacyFX information and reviews
LegacyFX
75%

© 2006-2021 Forex-Ratings.com

The usage of this website constitutes acceptance of the following legal information.
Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website (reviews, brokers' news, comments, analysis, quotes, forecasts or other information materials provided by Forex Ratings, as well as information provided by the partners), including graphical information about the forex companies, brokers and dealing desks, is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Forex Ratings shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about the forex companies. The entire responsibility for the contents rests with the commentators. Reprint of the materials is available only with the permission of the editorial staff.
We use cookies to improve your experience and to make your stay with us more comfortable. By using Forex-Ratings.com website you agree to the cookies policy.