Oil prices and COVID-19: the market fallout
Ongoing concerns about the wide-reaching economic impact of COVID-19 and plunging oil prices are weighing heavily on the economy. Our investment teams share their views on the potential impact and what it could mean for the market.
The sudden oil price plunge, driven by a stand-off over production cuts between Saudi Arabia and Russia, has rippled through markets. In our view, developments do not completely preclude production cuts in the coming quarters, but such a deal is far from a given.
These developments come amid ongoing investor fragility as the coronavirus' spread in the US and Europe accelerates. Given that fragility, the spillover from commodity markets is potentially significant.
UBS Asset Management experts across asset classes share insights on the impacts they are seeing in their portfolios, and what they expect over the coming weeks and months.