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The Impact of COVID-19 on the markets

While it was already clear that we were in the later stages of the economic cycle, nobody could have predicted at the beginning of this year that the global economy would be brought to a sudden halt caused by lockdowns implemented around the world in response to the rapid spread of the COVID-19. This unprecedented pandemic significantly affected all global markets in Q1 2020. As a result, this quarter has not been an easy one for most investors. The drop in the global economy activity is profound, but not permanent. In light of all this, the real question on everyone’s mind is not whether we will see a recession this year, but more like how long and deep it will last.