419 new cases were confirmed inside China, whereas 374 cases outside of China, on Feb 24. This brings us closer a tragic tipping point:
1. The rest of the world will now need to manage the public health and economic effects of the virus, while China seems to have survived its worst.
2. The first case of a Coronavirus patient from outside the Chinese territory was confirmed in China. Coronavirus is “flown” back into China. China may need to close borders if more imported cases are discovered.
3. While DJIA dropped 1,800 points over two days, Chinese stock markets have remained amazingly stable. Central Bank’s liquidity injection over the top (of expectations) seems to have done its tricks.
China seems to defy over and over again any sophisticated economic logic.
Wouldn’t be surprised at the irony if Chinese stock market becomes one of the best performing markets, and Chinese economic growth one of the highest in the world( 5.5-6%) in 2020.
Western economies need to resolve such public health and economic crises in a very different context. Its citizens value personal freedom, and its monetary authorities have less financial means to stimulate the economy in the aftermath.
The biggest worry now perhaps isn’t China, but the world ex-China.
We are moving into a different stage of the world dealing with COVID-19. We already knew that the 21st century will be "the Asian Century" and in many ways "The Chinese Century", but it's possible we could be looking at a radically different world even within the next few years. Now is the time to increase, not decrease, efforts to connect culturally with China. When commercial connection is difficult, the cultural connection can continue momentum and deepen relationships.