I believe early 2021 will be tougher than 2020… Mortgage holidays will have ended… Governments will be struggling to continue subsidising unemployment… the lagging disaster will be property… the contagion will be in full effect in the Housing markets. Banks, having the largest exposure to this market will be forced to refrain from lending… Mortgage, Loan defaults and runs on Bank deposits caused by low or 0% interest rates will more than likely initiate a serious credit crisis (as happened in 2009).
So many businesses are being decimated by lockdowns, social distancing, travel bans… a large percentage which can be classified as “Zombie Businesses”… only held afloat by Government subsidies and benefits which will collapse when these are removed.
Toward the end of 2021, economic growth should start to accelerate… A new wave of startups and business owners will appear… people that haven’t been financially destroyed by the lockdowns, unemployment etc… Opportunities open to enterprises that will fill the void left by businesses that no longer exist.
A view from afar… Trump winning a second term in November will more than likely embrazen Democrat Party followers to continue or escalate current civil unrest in cities across the US… Politics in the US has become such a divisive topic, it’s tearing society in these cities apart…
And I haven’t even covered the aggression shown by China against HK and covertly Taiwan.