· In its latest client note, the analysts at UBS predict the S&P 500 index to rally 11% by the end of this year to reach 3150 levels.
“Central intervention since the coronavirus pandemic outbreak started
If some combination of testing, tracking, and treatments enables a sustainable end to lockdowns, the massive monetary and fiscal stimulus rolled out over recent months could lead to recovery to pre-crisis output by the end of 2021.
Over recent weeks, a path to our upside scenario, in which we see a sustained return to normality from June, has emerged.
Although, an easing of lockdowns might trigger a second wave of coronavirus infections.”
· Hong Kong falls about 4% as US-China tensions weigh on investor sentiment
Stocks in Asia fell on Monday, as reigniting tensions between the U.S. and China weighed on investor sentiment, with major markets regionally closed for holidays.
Hong Kong’s Hang Seng index dropped 3.99% in afternoon trade, with shares of Chinese tech juggernaut Tencent falling more than 3%.
Meanwhile, South Korea’s Kospi fell 2.68% to close at 1,895.37. Singapore’s Straits Times index dropped 2.08% while the Nifty 50 in India plunged 4.93%.
Overall, the MSCI Asia ex-Japan index declined 2.51%.
Markets in China, Japan and Thailand are closed on Monday for holidays.
· European stocks opened sharply lower Monday on rising U.S.-China tensions around the source of the coronavirus outbreak.
The pan-European Stoxx 600 fell 2.2% in early trade, with autos and oil and gas stocks each shedding more than 4% to lead losses as all sectors and major bourses slid into the red.
Reference: CNBC, Reuters
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