Governments have assured populations that necessary precautions and preparations are being undertaken to deal with the potential pandemic. Monday’s market meltdown suggested it will shine a pitiless light on some of the economic assumptions and complacencies of the post-crash decade. But the near-hysteria that broke out among traders in stock markets across the world also had a deeper explanation. Analysts have warned that buoyant stock market figures, boosted by quantitative easing, have reflected excessive and unfounded optimism on the part of investors. On Wednesday, the new chancellor, Rishi Sunak, will deliver his first budget in a context of high anxiety.

Source: The Guardian March 09, 2020 18:56 UTC