As a new strain of Covid-19 launches a “British Invasion” worldwide, investors may understandably be worried about the trajectory of global economic recovery. But with scientists confident that vaccines will sooner or later be able to combat the new strain, Bank of Singapore Head of Investment Strategy Eli Lee remains constructive on markets.
The new strain is reportedly more infectious but not deadlier than previous strains. The outbreak of this new mutation has disrupted the economic recovery and seen a pullback in equity sectors correlated with economic re-opening such as airlines and hospitality. Still, the wider impact of this new strain on global risk assets and the economic recovery remain unclear.
