The sudden pause in the acceleration of the global economy due to the COVID-19 pandemic led to a steep decline in the share market. The world stood still with most of the beneficiary markets crashing. Many stocks dropped, from the entertainment industry to the hospitality industry, which were otherwise considered to have the Midas Touch.

Disclaimer: This article suggests different stocks. Do your own research when investing in stocks. This is not buyer advice, solely informational.

Q1 of 2020 - The downside

The first quarter of the US share market recorded a 22.8% decline, whereas the developed and emerging nations alike closed their window at a 22.3% low. Moreover, US-based high-end conglomerates were the most resilient of the major stock indices synchronously posting its worst quarterly return since the Great Depression.

Countries like China, the UK, Spain, etc. showcased its stock markets at an all-time low. The Shanghai Stock exchange shrank by 6.8% and the London Stock Exchange was pulled down by 25%. Meanwhile, the pan-Europe stock market fell at a 23.03% low. The emergence of the COVID-19 outbreak quickly affected the financial market from mid-February onwards and put a halt to significant industries.

Q2 of 2020 - The surge

However, as the world approached the second quarter of the fiscal year, a few nations recorded a surge in its share market, thus controlling the outbreak amongst its populace. Countries like New Zealand, Taiwan, Iceland, Netherlands, etc. managed to control the epidemic with enthusiasm, thus bridging the gap between pay parity.

Introducing new opportunities for existing, as well as new, citizens, these nations helped boost the economy in not only in-demand industries, (i.e. pharmaceuticals, medical, e-commerce) but also in currently dormant sectors such as hospitality, entertainment, and so on. Changing the crisis into a convenience showcased a well-taught resilience to the entire world hence recording a definite surge in stock prices.

The impact on the share market has been so strong that US citizens pleaded their government to re-open various sectors to resume operations. The same scenario was witnessed in the UK after the stock market crashed due to the COVID-19 crisis.

However, mid June, a few industrial operations resumed, helping to boost the economy. With the re-opening of a handful of sectors, the global stock market jolted towards a surge, thus acting as a silver lining during the ongoing pandemic.

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