SALIX Market update 9th March

The escalation in coronavirus cases will continue to increase at pace and no one can forecast the eventual numbers.

An economic slowdown is inevitable. However, policymakers have, and will continue to, cut interest rates and another phase of global QE looks likely. 

Tumbling Oil prices will also act as a stimulus to consumers.

The most likely outcome of such a huge injection of liquidity in our opinion is a sharp V shaped recovery in the second half of this year. We believe that current stock market prices are oversold and not discounting this.