The words “lock down” have become the buzzword for the month.
As countries around the world struggle to contain the Covid-19 virus, more and more of them have resorted to this drastic but necessary move.
India has just announced a 21-day lock down for its population of 1 billion people.
The UK has ordered a strict lock down to be enforced by police without specifying a definite period.
And in Malaysia, the newly-appointed Prime Minister Muhyiddin has just extended the country’s movement control order (MCO) by another 14 days.
Singapore has also enacted tougher laws, mandating that all entertainment outlets such as bars, cinemas and karaoke pubs be shut from March 26 till April 30.
Severe economic damage
The full implications of these measures on the global economy are as yet uncertain.
But one thing is for sure — with around one-third of the world’s population ordered to stay at home, economic activity has all but ground to a halt.
The damage to the economy may drag the entire world into a deep recession.
Get Smart: Winning the war
Such draconian measures are necessary to avert an even bigger crisis — the death of millions of people.
It’s short-term pain, but long-term relief (from the virus).
Though the situation remains fluid, I remain optimistic that things will start to improve when all affected countries get their act together to enforce these lock downs.
Until then, remember to stay safe and to observe good personal hygiene.
FREE special report: The Bear Market Survival Guide. If you’d like to learn how to survive this bear market, CLICK HERE to download our special free report.