Riding the Corona-Rollercoaster

On Friday, news of a COVID-19 variant identified in South Africa, and the announcement of new travel restrictions, sent markets reeling.  This is obviously not the only variant, and it won't be the last, either.  In our opinion, it's not the new variant that is the problem, but the government's potential reaction to it.  Oil prices fell 13% on Friday, pricing in a potential new round of lockdowns.

We're obviously not scientists, but what seems clear is that vaccines have underdelivered on their promise of ending the pandemic. Yes, relative risks for hospitalization and death are reduced (though not eliminated) after the jab, but fully vaccinated individuals can still get and spread the virus. This means the "zero COVID" strategy that public health officials have been pursuing since the pandemic began needs to change.