Most developed countries saw Gross Domestic Product (GDP) turn negative in the first quarter due to the economic impact caused by widespread shutdowns to ward-off the Coronavirus outbreak. It is almost certain that the second quarter GDP will be negative in most countries, triggering a technical global recession.
For the short-term, the market remains fixated on the virus outbreak as well as policy response. Shutting down the global economy is not a viable long-term solution. The current economic “pause” across developed market geographies should buy time to slow down the spread of the virus, and enable governments to cushion the slowdown with stimulus.