ECONOMIC AND MARKET OVERVIEW
Global
Well into the second year of the global Covid 19 pandemic the ferocity and persistence of the virus has surprised most people experts and the public alike.
Asia, a region that seemed to get through the early stages of the pandemic relatively unscathed, has suffered under the spread of a new wave of infections of the Delta variant of the coronavirus. This may cut short the global economic recovery that we’ve seen take place since the last quarter of 2020. The key to getting through this hurdle to economic growth is the success of vaccination programs around the world. If the efforts to inoculate significant portions of the global adult population are not derailed the most recent hiccup in economic activity will be short lived. This is illustrated by data from the United Kingdom where more than 95% of the adult population now have anti bodies be it from the vaccine or having contracted Covid 19. Evidence is unambiguous the vaccine provides good immunity and significantly reduces the link betweenu infection and hospitalisation.
According to Glyn Owen, Investment Director at Momentum Global Investment Management in London, a Covid 19 setback to the global economic recovery is temporary in nature. At their recent Think Tank he said that it may delay the recovery but is unlikely to derail it in totality. In the last month alone over 1 billion doses of the vaccine has been administered, and at this rate immunity (even if not complete) is not too far off in developed markets. Progression of vaccination programs in emerging markets has been much slower, but it’s progression nonetheless.
