Good news on vaccine front but markets should stay circumspect

SIGNS of an early victory in the Covid-19 vaccine challenge emerged this week as the clinical trials to evaluate the safety and efficacy of vaccines across the world begin to turn up promising results.

Almost a year into the devastating coronavirus outbreak, the positive news on this front has imbued hope that a viable solution to fight the pandemic may soon be upon us, and the world could cap a torrid 2020 on a positive note. This is unfolding even as Covid-19 infections and deaths rise exponentially in the US and Europe as a long, hard winter looms.

Amid the encouraging vaccine momentum - bearing in mind too that hopes on this front were dashed several times over the course of this year - it is crucial to tamp down expectations that a return to pre-pandemic behaviour is anywhere close.