2020 is Testing Positive Again

For the amount of turmoil and panic the corona virus has brought to the world, it seems to have only briefly panicked through Wall Street. For the eight months we have experienced in 2020, the virus has certainly been influential in the drops of many companies, but also the rise in plenty of others. Based on history, the healthcare sector always does well in election years, due to the promises of candidates, but 2020 has been a historic year for the sector, due to the virus and the race for a cure/vaccine. After the crash of March, where the Dow Jones lost 33% in a matter of days, worldwide panic was running rampant in the minds of investors. Nonetheless, the recovery of the market occurred much faster than anyone could expect. At the close of trading today, the S&P 500 reached its highest since February 19th, which was also the highest point for the year. Obviously the market was bound to recover, but according to CNN Business, the bear market of 2020 was only for 1.1 months. I find this number intriguing because despite the incredible performance of the stock market post crash, the American economy is nowhere close to a success. Millions are still unemployed and living off a check that is funded through the printing of more and more money, all while tens of thousands are diagnosed with the virus every day. It was expected the whole market would come down again, but its been 5 months since the initial crash, and the resiliency that has been shown despite the conditions of the world makes the market as unpredictable as ever.

-Darnel Shillingford

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