In this Motley Fool Live video recorded on July 21, healthcare and cannabis bureau editor-analyst Olivia Zitkus and Motley Fool contributor Keith Speights discuss how the delta variant might impact the stock market going forward.
According to the CDC this week, 83% of all new COVID cases in the US are now caused by this highly contagious variant.
In terms of how this might impact the stock market, I would say the most optimistic scenario is that the delta variant will have little impact on stocks.
I think we’re going to see some impact, but still it’s possible and maybe even probable that any declines with the stock market will only be short-lived.
In this really pessimistic scenario, we would probably see the governments across the world reinstate lockdowns like we had last year.
That wouldn’t be bad news for all stocks, of course, I think vaccine stocks such as Pfizer will probably also likely benefit, those stocks soared last year.
I think, for one thing, individuals who are fully vaccinated are far less likely to have severe cases of COVID-19, even with the delta variant.
But either way, buying stocks of solid companies with great long-term prospects and keeping your focus on the long term, I think that’s the best investment strategy either way.
This is really interesting because there have already been concerns, even without the delta variant hovering in the background.
I think we’re in a really different place than we were in terms of COVID and COVID treatments and vaccines a year ago.
In my case I got the time to keep picking stocks that I know well and and trust will fare one day just fine when COVID, fingers crossed is actually truly gone.
Speights: Sooner or later we will have another market crash, it’s inevitable.