SA: The 1918 Spanish flu and stocks

SEEKING ALPHA‘s Ploutos writes:

– Markets have trouble dealing with events outside the bounds of probabilistic outcomes.

– Even epidemiologists are challenged in framing the potential range of outcomes for a novel virus.

– Framing the current viral outbreak versus historic pandemics may provide some measure of insight.

– Coupling the rarity of large-scale public health catastrophes with the backdrop of evolving economies and markets makes historical comparisons challenging.

– Broader perspective can, however, remind investors that the US economy and stock market have navigated much more severe scenarios in a positive fashion.

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