Chart of the Week November 6, 2020: Coronavirus Stock market Crash in Asia


The ‘Coronavirus Crash’ was the sudden global stock market crash that occurred on 20 February 2020, following the spread of the Covid-19 pandemic. Stock market performance post the crash exhibits a K-shaped recovery. Based on benchmark equity index closing price data from Wall Street Journal Markets, this week’s chart depicts the disparities in stock market recoveries of selected Asian economies. 


  • China and Korea have outperformed the other countries and recovered to pre-pandemic values as early as June 2020. Large fiscal responses and effective management of the pandemic in these countries reassured the investors and paved the way for a strong stock market recovery. 
  • Although rate of recovery was slow, Japan reached pre pandemic levels in September 2020 and has not been growing since.  
  • Malaysia made the strongest “bounce back” when compared to its Southeast Asian neighbors. This is because its index has a greater number of technology stocks listed. Technology stocks are driving market recovery elsewhere in the world.  
  • Indonesia, Singapore, Thailand and Philippines are witnessing staggered recoveries and have not yet reached pre-pandemic levels. Over 50% of Singapore’s benchmark equity index is derived from banking and telecommunication companies that are in a state of maturity. The lack of high growth technology and internet companies in the index is slowing the pace of Singapore’s recovery.  
  • Philippines and Indonesia were the worst hit following the coronavirus crash. They faced the most prolonged lockdowns as Covid-19 cases continued to rise.  

Article By Ammu GEORGE

Graphic By Shu En LEE

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