Corona virus in the European union, Italy’s Markets Slips

  Italy which is currently the most affected country in the EU by the coronavirus, faces numerous hurdles in its attempt to calm the public down. Prime Minister Giuseppe Conte signed a decree imposing restrictions to the movement of people in the region of Lombardy and 14 other northern provinces. The measures affect more that 16 million people, banning them from moving in and out of those areas. This has instigated panic among the locals with riots erupting in prisons when the inmates were informed that visits from outside were suspended because of the emerging threat.

·         Italian stocks on the blue-chip FTSE MIB initially failed to open Monday along with other European markets. When the index did open, stocks were trading down around 2,290 points, or around 11% lower, and by late afternoon the index was down around 9.5%. Italy now has 7,375 confirmed cases of the virus and 366 deaths. The outbreak has been concentrated in Italy’s wealthiest northern regions of Lombardy (where there are 3,372 confirmed cases), Emilia-Romagna (with 1,097 cases) and Veneto and has highlighted Italy’s north-south economic and cultural divide. Officials have continuously instructed locals to not leave their homes and stay indoors.

·         Now this hasn’t only effected the EU but internationals markets have tumbled .Giants like US had to bow to the Virus as Wall Street suffered its worst day since the financial crisis of 2008 , the Dow plummeted more than 2,000 points by Monday's closing bell, and London's FTSE 100 plunged to a three-year low after oil prices cratered by 30 percent overnight. The PSX stock exchange suffered its worst Day in history with loosing 2400 points on Monday alone.

·         From the given situation a cure is nowhere to be seen, Mankind is going through a hard time and so are the financial markets. If an investment is to be made its to be made NOW! Or when it dips a little further on. Warren Buffet’s Berkshire Hathaway is sitting on a cash of 128$ Billion, He’s waiting for the Crash so he can earn huge after it bounces back.