Monday 15th June 2020
The market lost a chunk of optimism last week. Jerome Powell’s pessimistic outlook didn’t help and probably destroyed hopes for those still set on a V-shaped recovery. Some exuberance returned on Friday, but Phil Dobbie asks NAB’s Rodrigo Catril whether that can continue, given increasing concerns of second waves – highlighted by a lockdown in Beijing and Seoul – and the question of whether opening up shops is enough to get people shopping. Activity readings from China might bring some relief, if the news is good, of course – but is it as simple as applying the rate of China’s recovery to the rest of the world?