COVID-19: The Pandemic’s Impact on Economy and Stock Markets

COVD-19

Abstract

As we wrestle with the outbreak of novel Coronavirus known as COVID-19 in an increasingly interrelated world, the virus is causing economic mayhem and large-scale loss of life. It is now believed to be a global disaster to what was initially considered as a largely China-centric subject. Asia, Africa, Europe, Australia and America, all are grappling with its enormity and aftermath. This pandemic has pushed the world’s economy towards the depression and raises a question for economists as how to manage financial stability? Governments are taking serious steps to deal with this life-threatening disease. Pakistan will inescapably be impacted by both the domestic and global developments arising from the outbreak of the pandemic. The country was earlier on the road to slow recovery under the umbrella of an IMF bailout package. Now the process of growth could be hampered severely, leading to a massive increase in hunger, poverty and unemployment. The study aims to present some fruitful information about the global stock markets with a particular focus on the stock market of Pakistan. Findings reveal that stock market performance of the country is revolving around the bullish and bearish pools.