Interestingly, the Dollar Index also initially

People with the disorder will often look emaciated
August 26, 2016
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August 27, 2016

Interestingly, the Dollar Index also initially

canada goose canada goose Albeit COMEX Gold didn’t respond initially as a safe haven to COVID 19 crisis in February but safe haven buying appeared to have emerged only recently as it rallied from the lows of $1,457 on March 20 to $1,699 on March 25, 2020.Interestingly, the Dollar Index also initially remained clueless with erratic moves but registered a directional move on the March 9 as it rallied from a low of 94.61 to a high of 103.90 on March 23.The 10 Year US treasury notes appear to be the only asset class that responded to the panic and attracted safe haven buying from day one as it rallied from the low of $130.64 registered on 12 February to a high of 140.70 clocking a net gain of close to 8 percent.On the domestic front, Indian equities took a drastic cut of 40 percent in 9 weeks. The index fell from 12,430 levels to a low of 7,511 whereas Indian Rupee against Dollar depreciated by 8 percent with a fall from 70.71 to 76.37.Usually, this kind of flash crashes in the equity markets are presumed to be an opportunity for long term investment provided fundamentals are intact.However, in the current scenario, there is an adverse impact on the fundamentals and there is going to be significant damage to the world GDP as economic activity across the globe is crippled.When nobody works, the real economic activity involving consumption, investments, exports, imports etc. Which are essential to keep the economy rolling will be decimated for at least the next couple of months if things don’t fall in place.It is true that central bankers one after the other has opened the liquidity taps once again across the globe with US Federal Reserve coming out with a $2 trillion dollars package to bail out their economy.Similarly, the Reserve Bank of India (RBI) has offered a Rs 1.75 lakh crore relief package.

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