COVID-19 cases are rising across the globe, though the success in controlling the spread of the virus in many countries has allowed a gradual relaxation of lock-down measures. Recent data is confirming the lock-down restrictions have had a massively damaging impact on economic activity, but in countries in which restrictions are being eased, a V-shaped recovery is in play.
That said, there are two concerns with expecting a recovery that sees activity and labour markets return to where they were prior to the onset of the virus.
Read more on our outlook for the New Zealand and global economies, and across asset classes, in the August 2020 edition of Quarterly Strategic Outlook.
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