We have to do everything in our power to understand and learn as much as possible so that we can deal with this situation. For starters, it is important to note that this global pandemic that we are currently a part of is changing and shaping our world for the years to come. Drastic changes are happening in every possible aspect of our lives and we can see that these changes are also affecting the regular pace of our society. This means that the financial field is going through these unexpected drastic measures as well.
Accordingly, we have to think about how this situation is affecting the overall economy of the world, and a great starting point is to first deal with the UK and Irish stock markets. This will gain us the necessary insight that will help us in the long run. So, let’s begin.
The UK stock market
The inevitable thing is that this quarter of the year 2020 is rather difficult for the stock market, especially in the UK. This is the case just because the impact of coronavirus is causing the stock market to crash. There is a list of the best UK stockbrokers by Learnbonds that are constantly working on the details about the effects of this outbreak on the overall economy in the UK.
There are some predictions circling around that this outbreak could wipe out around £170 billion off UK profits over the following 18 months. Another major impact that the coronavirus pandemic is causing is the crash of the stock market that in the UK has fallen around 25% of the overall stock index. But, like any of the previous stock market crisis have ended, this one will come to an end and soon enough we will see an improvement, the company’s abilities to deliver certain profits will help increase the overall stock market.
Impact on the Euronext Dublin
The pandemic delivered a crushing initial blow to Euronext stocks, with travel and hospitality companies feeling the full force. However, the stock markets are now at a three month high as several countries begin to get to grips with the pandemic and cases lower.
The Euronext Dublin, formerly known as the Irish Stock Exchange, has seen some recovery over the past week. Dalata, Ireland’s largest hotel company, has grown its stock price 6% in June, with Ryan Air and Aer Lingus growing 2% and 3% respectively.
This is since the Irish government announced that the two largest banks in Ireland have dropped €5.2bn in value since the Covid-19 pandemic first happened.
Looking at the overall numbers of the economies from all over the world we can see that people are trying everything they can to fight and limit the future effects of the coronavirus in any field imaginable.
More importantly, the economy will flourish again as businesses and individuals start working again and in the following years we will see an improvement.