In response to the overnight news that President Trump and his wife have both tested positive for the coronavirus, this article looks at the performance of markets after two other world leaders previously contracted the virus. UK Prime Minister Boris Johnson and Brazilian President Jair Bolsonaro both contracted the illness earlier this year, and have made recoveries.
The announcement that Boris Johnson had contracted the novel coronavirus came on March 27th. From his public diagnosis, through the UK Easter Monday holiday after he was released from the hospital on April 12th, the FTSE 100 underperformed the MSCI World Index (URTH) by roughly 3.3%. This was a solid period for global equity markets, which were bouncing off the recent COVID-impacted market lows. To strip out currency effects, I have put each index in dollar terms.
Over that time horizon, UK 10-year gilts decreased in yield from 0.37% to 0.34%,