After a monumental melt-down in mid-March, financial markets have started to rebound strongly in April. News surrounding equity markets have been positive this month. Looking at equity markets via their broad indexes, however, misses an important aspect of what has been happening beneath the surface. It is mainly one sector alone, US tech stock, which is performing very well while value stocks overall but especially in Europe languish. Why is that so?
In times of crisis past
The Coronavirus has made to the American shores with devastating speed. Next to the human cost, it lays bare the deficiencies of the healthcare systems around the world. It is quite clear that these systems are not prepared and that we have wasted precious time to gear up for the arrival of the virus. The only solution to prevent the collapse of the health systems is a full lockdown which about 60% of the world’s GDP are now under. The idea of herd immunization was quickly a