Money, the whole purpose for the human balance, and the whole financial system is at risk. The menacing coronavirus brought about the need to secure assets in a more stable and reliable form for the possible future. currently, the global stock exchange is vulnerable.
There is the need to hold cash of Couse for the immediate need and quick necessities
Just a few hours ago the US stock was halted for 15min due to a downturn on basically every stock in the market. This has happened before but it’s very rare. With the current crisis in place, this is deemed to happen again in the near future.
How Bad is the Stock Downfall
The US is just one of the many countries affected by the global crisis. The global market is crushing too. Today alone the stock markets in Italy have dropped by 10%, the biggest of the other many more country today.
Norway has gone down by 8.9%, Spain 7.5%, France, Germany Netherlands, and Saudi Arabia all are above 7% loss. The list goes on to drop the stock almost as high as Italy in a day.
South Africa: -5.5%
South Korea: -4.2%
— The Spectator Index (@spectatorindex) March 9, 2020
Bitcoin and Gold Stand in all This
Even with the recent hit on bitcoin in the last one month, the downfall has not exceeded the bitcoin price at the start of the year. At $7,815 bitcoin is already at a 9% gain. It may not be the best day this year but it’s a positive turn for the coin with the possibility of getting back to the year’s best gain of 45%.
Gold has recently hit a, 1700 mark. in just a few months down into 2019, this figure represents a 40% gain from last year. in the last few years, Gold has been trading at a price of around $1200 n, not above $300
Both Gold and now bitcoin are international. It’s much harder for them to be affected by the crisis in one country than the countries currency. If at all the certain countries gets back to the line of normalcy in a case of recession, gold and bitcoin may still hold its value.
A recession usually leads to a 30% to 40% falls in total equities. The global market shows plenty of signs for a recession. The recent crashes could be just the start of something so deep to get out of.