Recent events have shocked the world to a great extent but markets are finally and ‘sort of’ coming back to normal now. It is April already and at this time, it is a good opportunity for investors to ‘buy’. In fact, analysts are saying that since the corona upset has literally shocked the stock markets to a bottom down impact, it is time for investors to transition now. From buy and sell to ‘buy and hoard’ now and then sell eventually. Since the markets are volatile now, stocks are cheaper, and, therefore, one must buy. The essence is to first buy, then sell, and then probably hoard for the next 2-3 months.
A Positive News For Investors: Markets Finally Open
While the markets are now getting a little stable now, we are now transitioning from ‘the outbreak of corona virus’ to ‘back to normal and normalcy now’. It will take about 2-3 months for the markets to recover properly and about 4-5 months for it to come back to normal again.
However, since stocks are cheaper today, one could benefit from buying more today (at a cheaper price) and selling them later on at a higher price when the markets are more stable later on.
You should either buy and hoard now or buy and wait to sell till perhaps May or June.
At the moment, corona has sort of just kept us in a situation where we don’t know what to do. However, from an investor’s perspective, things should now start moving a little. While analysts are suggesting that you should start buying now, I’d say it would be better to realize first as to what is going on and how to stop it: we start making the markets move slowly by buying first and then selling it.
Exploring The Stock Market
While the S&P 500 index first rose by 1.8% as of (5:30 am), the Stoxx Europe 600 Index rose by 0.3% and the MSCI Asia Pacific Index dropped by 0.3%.
As far as the stock market is concerned and currencies, the Bloomberg Dollar Spot Index dropped by 0.2%, whereas the euro dropped by 0.2%, settling at $1.0937.
Furthermore, the British pound raised by 0.5% to now $1.2431 and the Japanese yen dropped by 0.1% to 107.29 a dollar. This shows that while the European markets are a little stable than before at the moment, the U.S. stock market is better as the U.S. is the leading importer of the world. On the whole, since it is the start of April now and fore financials are coming ahead, it is time to start buying and start exploring the stock market all over again.