Coronavirus continues to spread all over the world. As of now, according to the Chinese media, at least about 81 died and 3000 people have been affected across China and elsewhere. Almost every hour, the news media is showing news about newly affected patients.
Today (Monday, 27 Jan) this outbreak has caused havoc in the financial world and all the major markets dropped in red.
|FTSE 100||-173.93||2.29% ↓|
|Nikkei 225||-483.67||2.03% ↓|
|SSE 50||-85.39||2.83% ↓|
|CAC 40||-161.23||2.68% ↓|
If you are in investing, don’t panic seeing the sea of red everywhere. One of my own portfolios dropped by 2.4% today. I am doing one of the two things below. You might consider doing one, too, according to your situation.
Keep calm and avoid coronavirus news!
We might never know the true situation of the coronavirus spread in China. The government tightly control the newsmedia and it won’t allow any leak to the outside world. I am quite sure the true number is much higher than we are learning now. I am also sure Chinese and other governments will be able to control the outbreak very soon. So there is no point of checking the numbers and getting worried.
Take a chill pill!
Do you have spare cash? (Re)start investing!
As I already said, the situation will get better very soon. I believe in the companies I have invested so far. I would give it another 3/4 days (probably next week), and I would top up some of my holdings. I have a list of ‘wannabuy’ stocks, I might take some positions, too.
Here are five companies from my ‘wannabuy’ list:
- Compass Group (LON:CPG)
- JD Sports (LON:JD.)
- Mondi Plc (LON:MNDI)
- Rio Tinto plc (LON:RIO)
- WPP plc (LON:WPP)
So, which one am I doing now?
It’s true that I am checking news regularly, but it is to understand the current situation, not to get panicked. The drop is an opportunity, and once the affected number is dropping, I will restart investing before the market is fully restored.
So, what is your strategy during this period? Let me know your thoughts and ideas.