Can Omicron stall the global recovery and cause economic uncertainty?

Team Veye | 28-Nov-2021 Omicron stall the global recovery

Several European nations detected their first cases of a highly infectious new coronavirus strain, as governments worldwide began pulling down the shutters to contain the new variant

The Technical Advisory Group on SARS-CoV-2 Virus Evolution met on 26 November 2021 to review what is known about the #COVID 19 variant B.1.1.529. WHO has named it Omicron and designated it a Variant of Concern.

The discovery of 'Omicron' last week has stirred concerns around the world that it could resist vaccinations and stretch the nearly two-year COVID-19 pandemic.

Two cases of the new variant of coronavirus were detected in Australia's Sydney. Each passenger came to Australia from southern Africa on November 27 and were presently in isolation. They were asymptomatic and fully vaccinated.

Governments around the world are struggling to stop the spread of Omicron, returning to stricter Covid guidelines and imposing travel restrictions on at-risk nations. Despite the banning of flights, there were increasing concerns that the variant had already been widely seeded around the world.

The economic impacts of this variant are already being felt. Flights between South Africa and Europe were being subject to quarantine or being shut down altogether. Airline stocks were quickly sold off,

Investors were uncertain whether the variant could potentially reverse months of progress at getting the COVID-19 pandemic under control. Anticipating more lockdowns and travel bans, they moved money into companies that largely benefited from previous wave.

Stocks sunk globally as the new variant raised fears of more economic impact with Wall Street’s VIX, a measure of its anxiety, rising 53.6% to 28.54, its highest since January before the vaccines began to be widely distributed. 

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