The previous week was an absolute sense of panic in global markets. Not just India but all global markets corrected. The week saw most indices like the Sensex, Nifty, DJIA, NASDAQ, FTSE, CAC, DAX and Nikkei losing anywhere between 20-30% in less than a month led by the virus pandemic. Specific instances like the WHO warning and blanket travel bans are heightening the panic. To an extent, this correction can also be attributed to steep valuations.

Of course, the next few weeks will be critical. That is when we get the real picture of the impact; both social and economic. China has reported a fall in Coronavirus cases but there has been a spurt in cases across Europe, Middle East and the US. Of course, nations are today better regulated than the 1700s and science and medicine have advanced big time. The immediate priority will be containment and that will be visible in the next few weeks.