- Stock markets all over the world generally recorded losses in the first three months of the year 2020
- The general drop has been attributed to the outbreak of the coronavirus which has led to massive sell-offs
- The fall follows an order by authorities to businesses to halt trading in order to stop the coronavirus
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The first three months of the year 2020 was the period of the worst losses suffered by stock markets since 1987.
Information available suggests that it was also the period in which there were massive sell-offs due to the outbreak of the coronavirus.
The Dow Jones Industrial Average and London's FTSE 100 plunged 23% and 25% respectively, recording their biggest quarterly drops since 1987.
READ ALSO: USA's Federal Reserve reduces interest rate to 0%; launches $700bn dollar programme
Per a bbc.com report, the S&P 500 also lost 20% during the quarter which was its worst performance since 2008.
The drops follow an order by authorities for a halt to activities in a bid to stop the spread of the coronavirus.
Market analysts have warned of the worst-hit possible to the economy it has been projected that China’s economic growth could fall to 2% and that of the United Kingdom (UK) could end up at 4.5%.
The outlook for countries such as Italy and less developed economies could be worse, it has been predicted.
An analysis by the Federal Reserve of the United States of America (USA) suggests that the rate of unemployment could increase to over 32% in the next three months and over 47 million people could lose their jobs.
Meanwhile, fears over the spread of the coronavirus have led to a surge in the refinancing of mortgages, YEN.com.gh has learned.
Mortgages refinance increased by 26% as people tried to take advantage of the falling interest rates. The interest rates have suffered a downturn as a result of the spread of the coronavirus.
The rate on a 30-year fixed-rate mortgage has fallen to the lowest point in over seven years as the coronavirus sparks uncertainty and anxiety.
READ ALSO: Coronavirus: Falling interest rates lead to increased mortgage refinances
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