- Dow Jones Industrial Average (DJIA) futures sunk 823 points on Wednesday.
- CDC Director said we are “definitely going to have a second wave” of coronavirus infections in the winter, and rolling restrictions may continue.
- Investors are slowly realizing that a quick V-shaped recovery may be impossible.
The Centers for Disease Control (CDC) issued a stark warning last night, jolting the US stock market back to reality. Dow Jones Industrial Average (DJIA) futures now point to a weak open on Wednesday.
In a SiriusXM interview, CDC Director Dr. Robert Redfield confirmed most people worst fears
We’re definitely going to have a second wave.
He said that some social distancing restrictions would likely stay through the summer, and we should brace for a second peak in the winter.
No matter how vigilant we are… this virus is so infectious that I’m not sure, even in the most [inaudible] we’re going to contain it to the level we want to.
Investors are now adjusting to the painful reality that a V-shaped recovery may be impossible. Instead, a series of rolling lockdowns and restrictions will choke the economy for a year or more.
Dow futures tumble after strong Tuesday
US futures couldn’t hold on to Tuesday’s spectacular recovery , which was led by strong Apple iPhone sales and promising export data from China. At 5. am ET, DJIA futures were down almost (points) 1. (%).
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