Stock grind higher

Stocks surge again to set new record highs in shadow of coronavirus (COVID-19), 12th February 2020

Stocks up – shrug of coronavirus

Stocks yet again set new records ignoring the potential threat of the coronavirus – (COVID-19). Despite the worrying number o uncertainties the virus brings with it, and there are many, stocks climb ever higher!

This may be for a number of reasons:-

  • Central banks preparedness to act and prop up economies using interest rate cuts and monetary stimulus is never far away – it’s as if there is nothing to fear. Good news – bad news, bad news, good news. Never fear, a central bank is near.
  • Investors have fewer options for their money, especially with such historically low interest rate for savers – making stocks much more attractive than saving. Where else can you get these type of returns?
  • The Fear of Missing Out – FOMO
  • U.S. stocks have also benefited from respectable earnings recently and from historically low unemployment


I don’t know what it will take to slow the march of U.S. stocks, but my fear is, it isn’t that far away.

Stocks at record levels – 12th February 2020

Dow closed at a record high of: 29551

S&P 500 closed at a record high of: 3379

Nasdaq closed at a record high of: 9726

Dax closed at a record high of: 13750

Higher or lower?

There is much talk of a ‘pullback’ and that there is a ‘correction’ coming – at these highs and with the backdrop of such an unknown as the COVID-19 coronavirus – it wouldn’t come as a surprise!

Who really knows!

U.S. markets seem content to ignore this potential looming global crisis..?


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