Let’s be honest. 2020 hit us all in a way that we would never have expected. What we thought would be a temporary issue that could be quickly dealt with, became a year-long problem that had an impact on almost every aspect of our lives. Though the madness of 2020 has slowly come to an end, the effect that it had on our various world markets hasn’t just disappeared overnight.
In some instances, certain places in the market have actually been boosted. For example, with most of us being trapped at home, there has been an increase in the use of online shopping platforms. Unfortunately, for the most part, a lot of the world markets that we depend on have been negatively affected. This means that some of the companies that we depend on have unfortunately been forced to close and as well as this, the ones that have managed to survive have had no choice to increase their prices.
With all that is going on in the world, it can be hard to keep on top of the state of all of the world markets. We understand this and so have compiled some information about all of the important markets so that you can get a better idea of what is going on in the world right now.
The housing market
The housing market was one of the markets that took the biggest hit. During the pandemic, people really lost a lot of their income and as a result of this, not many people wanted to purchase a new home and not many people had the means to even if they did want to. Because of this, a lot of homes that had previously been put on the market before the pandemic hit the world, were left there for months and months. Some people even tried to drastically decrease the price of their homes, but nobody wanted to buy them.
You may be glad to hear that the housing market is starting to get back to how it used to be. As many of us have returned to work, more and more of us have started to regain the financial security that we once had. A lot of the houses that had their prices decreased have remained at that low price, which means that in some areas, buying a home is cheaper than ever.
Due to people being trapped in the same place for such a long time, people have also started to put their houses on the market so that they can move and experience a fresh environment. If this sounds like it relates to how you have been feeling during the lockdown, then it may benefit you to do the same. However, if you wish to do so, you have to consider that the market is highly congested right now. So make sure that you are in a position where you can comfortably sell and ask yourself some of the important housing questions, such as can you sell a house that doesn’t have a gas safety certificate?
The stock market
If you have been keeping up to date with the news recently, then you will see that the stock market has really been going through some things. Now, if you are aware of the Game stop incident, then it can be clear to see that it isn’t necessarily due to the effects of 2020 as to why this has been happening, though arguably the Gamestop incident would have never happened if Reddit users didn’t have so much free time to play with.
In mid-2020, the stock market did however take a massive hit. Many feared that the fall of the stock market was inevitable and we would have to face yet another recession. There were certain companies within the stock market that really felt the brunt of 2020’s pressure, for example, the auto market was really affected. This means companies like Volvo and Ferrari were at risk, as nobody could afford to buy their cars, and people who held stocks were pulling out every day. However, much like other markets, the stock market is slowly but surely returning to its former condition.
Clubs and Pubs
Unfortunately, one part of the economic market that has really taken a hit and shows no immediate sign of recovery is the entertainment market, specifically pubs and clubs. Due to the rules of covid, a lot of these establishments have been required to remain closed in order to protect the general public. Some countries had systems put into place by their governments to ensure that business owners were able to survive 2020, but a lot of these funding programs really didn’t take into account all of the profit that these businesses depend on but were unable to get during covid.
As a way to avoid losing even more money, a lot of these businesses have made the executive decision to close their doors permanently, meaning they won’t even reopen once the pandemic has started to really disappear. Due to the mass loss of this business, the market has really taken a hit and a lot of the businesses that have decided to remain open have been left with a feeling of insecurity as there is no promise that the businesses will survive the pressure of the upcoming months so the market seems as though it will only continue to decline.